For transparency, prohibit fine print

How many of us have experienced what I will simply term, "the perils of the fine print." Those contract-altering minuscule sentences at the bottom of almost any contract we enter into that if not carefully scrutinized can serve up some nasty financial surprises if we don't abide by the original agreement. Enter into a cell phone/carrier agreement and get a fantastic low introductory rate but be aware that if you try and opt out of the contract before it expires there will be penalties to pay.

The "fine print" has been blamed in many instances for the subprime mortgage fiasco. Borrowers thought they were paying one rate only to learn that buried in the "fine print" was a much larger rate that kicked in shortly after the initial loan was granted.

The Obama administration has put transparency and accountability at center stage of their policies to deal with our economic crisis. Legislating "the fine print" out of contracts would offer consumers transparency they can comprehend and make accountability the consumers' responsibility if they enter into a contract they don't understand. No longer should an introductory rate be offered in BOLD LARGE lettering only to have the true rate buried in text so small an electron microscope would be required to read it. All meaningful elements of a financial contract, of any sort, must be spelled out clearly, in the same type face and given the same prominence as the "teaser/introductory" offer. There is no justification for the continuation of "the fine print."

Steve Sarich

Grayslake