McDonaldization powerpoint

ttions

for a card, nputerized

es by, for rcore falls bfinition, rive judg- rrd loans, bnalized, nionality,

rs played r, such as d to take Ilew car, c2n now fie past. , such as it cards. us been banking hat over

7 (mort- nalized. irection.

[t card plicant murse, Erm or l[narily mlders them-

pd out

[self is

ftt g.t Ecient

chapter 24 Credit cards, Fast-Food Restaurants, and Rationalization 271 number of points, the lender then buys a credit report on the appricant froma credit bureau. The score on the.r.dit..port is key to the decision to issuea card' said a vice president of , .o-frrri" ,t . business of designing scor-ing models for lenders: ,,you can h"u. * ,pplication that,s good as gold,but if you've got a lousy credit report, you', get turned dowrr-euery time.,, [;:***ds,

it is rhe numbers, "., i,l"fir"tive fa*ors, that are uttmately

Scoring models vary from one locale to another and are updated to reflectchanging conditions. Despite gr.r, u"ri"iio, fro* report to report, the fol_lowing items usually receive,fr. -"rr-*"ig;r, a

a

a

a

a

a

a

a

a

scoring systems crearry quantify the decision-making process. In doing so,they reduce human qualities . ,;rr;;;;urntiti.r. That is, they reduce theindividual quality of credirworthiness io " ,r-pt., single number that*decides" whether or not an applicant is, in fact, worthy of credit. The morehuman judgment of an officiar;, ;r"drr ;rra r*- is then considered unnec-essary' one banking consultant craims ,h"i.,rh. character of an individuaris much more importantthan t"...;;;r;1. you can,t decide who to lendto by using a compurer., However, *i*1.*rf, of applicants brought in

fr-:l :::,tJ,X;:d",::T:q'fro'ts' "' aii "'a ri'-,,* in.,., J.,grv,.rv- able scores.

:oflng systems and paying more affention to quantifi-

Efficiency: The Faster the Better

. . . The credit card is a highly efficient method for obtaining, grandng, andexpending loans. Appricanrs need do riftr. ;ore than fi, out-a [ri.r roori."-tion, and in the case of preapprov.a .r.ai-t .".dr, .u., that requirement maybe waived. In most .rr.r, ,h...u*o_.. i, gl".,,.a a fine of credit, which isaccessed and expended quickry ""d .;;i?; each time the card is used.