New forms of credit have historically faced skepticism and resistance. The introduction of installment plans by retailers in the early 20th century,offering customers the ability to purchase furniture and automobiles with payments spread over time,was initially met with criticism.Concerns centered around potential moral hazards, exemplified by warnings like the one published in the Houston Chronicle in 1926, which cautioned against the “slimy coils of the instalment evil.”
Similarly, the widespread distribution of credit cards, pioneered by Bank of America in 1958, quickly sparked anxieties about its potential ramifications. This pattern of initial resistance highlights a recurring theme: societal apprehension towards evolving financial tools and practices. These early reactions demonstrate that the debate surrounding consumer credit is not new, but rather a continuation of long-standing concerns about debt, spending habits, and financial duty.