A credit union that shares leadership with the Illinois Credit Union League is issuing a credit card that consumer advocates have condemned as a consumer unfriendly, "fee-harvesting" card.
The cards are issued by Services Credit Union, a privately insured, state-chartered credit union that lists Daniel Plauda, the CEO of the Illinois Credit Union League, as its CEO and shares the same address as the ICUL.
Consumer advocates define fee-harvesting credit cards as those with low credit limits and high fees. According to 2007 report from the National Consumer Law Center on the topic fee-harvesting cards "share a common thread: high fees that eat up most of an already low credit limit, leaving the consumer with little real, useable credit and at a high price."
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