rate, or apr, to each feature. fees were limited to a fee for cash advances, an annual fee on the account, and perhaps a fee if the consumer paid late. today, a card may also offer balance transfers and treat different classes of purchases and cash advances as different features, each with its own apr. these aprs adjust much more frequently to respond to changes in the market or to changes in a borrower's credit risk profile. the typical card no longer has an annual fee, but it has many other fees tied to a variety of features, or to requirements of the credit agreement, or to a growing number of optional services. all of these developments have joined to produce the seeming paradox that credit cards are both widely used and widely criticized. the board is keenly aware of concerns over the fairness and transparency of card marketing and account terms. there is, for example, a concern that issuers advertise low introductory rates while downplaying that these rates can increase sharply. observers worry that the varied reasons that rates can increase, sometimes by a factor of two or three, are not made clear when the consumer applies for the card, starts to use it, or builds up a substantial balance. further, there are concerns that issuers'methods of calculating interest, such as the ways they choose to allocate customers'payments to different balances, are confusing or not clearly disclosed. more broadly, the presence in the market of terms seemingly unfavorable to consumers appears to some to indicate that the market is not fully competitive. board of governors of the federal reserve system ( 2006 ), report to the congress on practices of the consumer credit industry in soliciting and extending credit and their effects on consumer debt and insolvency ( washington : board of governors of the federal reserve system ), tables 3 and 6. the board ’ s goals and process the goals of our proposed revisions to credit card disclosures are to aid consumer decisionmaking and improve competition. more effective disclosures make information about terms and pricing easier for consumers to obtain and understand. when that happens, individual consumers are less likely to fall into " traps for the unwary " and are more able to choose products that offer the best combination of features and pricing to meet their personal financial needs. better dissemination of information about credit card terms and pricing also enhances competition among credit card issuers, which, in turn, helps generate products that consumers want. to achieve these goals, the

know the security features and make the checking of money second nature. the security features on south african rands are only useful if people use them. it is every user ’ s responsibility to get to know the upgraded banknotes and check the security features. may we also take the opportunity to thank the team and their collaborators for their energy and effort in ensuring the success of the project as a whole and ensuring that the banknotes are distributed on time and for the efforts in ensuring public confidence in our banknotes. thank you for coming here today and for your participation in this process and we wish to encourage all of you to spread the message about these very important changes to our banknotes. thank you.