March Challenge - Day 23: More election promises - still blah

So both the Liberals and NDP unveiled a campaign promise today. The Liberals focused on education, the NDP focused on credit card debt.

The Liberals plan, wrapped with a ribbon and called the "learning passport" gives $1000 a year to any student's RESP when they are between the ages of 14 to 17, and would be paid out during each year at college/university. For low income families, that amount is $1,500.

The NDP unveiled their plans to slash credit card interest rates in an effort to cut down consumer debt. This promise would effectively ban high interest rates, cutting it down to close to 5% above prime compared to the 19 - 21% banks currently charge.

Both plans are interesting and certainly appeal to a core voter group - families. Families with kids they have aspirations for to go to post-secondary education. Families with debt.

The trouble with the Liberals' plan is that while $1000 helps, it doesn't address the crippling student debt a large majority of students will have to take on to pay for the rest of the cost that the $1000 does not cover. Rather than the $1000 handout, why not address the student loan system and provide incentives to pay back the loans faster, programs for students struggling to find work after they leave school so that they can pay more manageable parts of the loan? Perhaps restructuring the student debt payment program would be more beneficial to students rather than giving them a handout as you're in a way teaching them financial responsibility - for every loan you take out, you must pay back. But give them the leniency that they need so they don't default. The cost to this program? $1 billion a year. I would say, take that money and do a complete restructuring of the student loans system and you'll see a greater return.

The NDP promise is interesting - and noble. Credit card interest rates are insane. However, you put a cap on the banks, they'll find another way to get money from consumers. And let's address the bigger problem in the first place. Too many people have too many cards. Cap limits on cards. Cap the dollar limit on those cards so that people aren't taking out more than they make. It's not cost of living that is driving people into credit card debt. It's irresponsible spending based off of no limits set in place for credit card acquisition. Interest rate caps aren't the problem. People who are in debt will continue to be in debt regardless of the interest rate.

So again, two smoke and mirror promises. 0 points to any of the parties so far.