Comments on: Fed Cracks Down On "Unfair" Credit Cards

Politicians Praise Biggest Industry Clampdown In Decades, Others Wonder If It Goes Far Enough

[gaprddesc]

The "sub prime consumer" has been BORN and it is too late for them. The %u201Csub prime consumers%u201D have always been in a "recession" living on a cash basis only due to the unfair credit card practices and the credit reports. The Credit Card company is not the only one making money off the backs of the citizens of this great country.. This %u201Cdown turn%u201D in the economy that many are experiencing is not NEW. The %u201Csub prime consumer%u201D is most likely enjoying the company of the %u201Cnone sub prime consumer%u201D in the recent months and reaping the benefits that trickle down from the bail-out of the %u201CHave Mores%u201D. When the %u201Chave mores%u201D started looking like the %u201Csub prime consumer%u201D in the past few months, someone had to step in and save them. The only problem is that the %u201Cthe sub prime consumer%u201D who lived from pay check to pay check will feel this down turn even more then the %u201Crecession%u201D they already were experiencing due to unfair practices by ALL WHO could make money off the %u201Csub prime consumer%u201D. These are the invisible people who are a target for high interest rates and the many creative fees. Once the %u201C MARK%u201D oops! I%u2019m sorry I met the %u201CLOW FICO SCORE%u201D is applied there is no way out. Who is watching the HEN house? These people are not stupid people! They are the honest, hard working people who want to pay what they owe and pay it on-time.

[antoniof123]

wow, its even the governments fault that you libs use credit cards.....must we keep dumbing down america just to help you all keep up?

Posted by jamesm12341 at 10:47 AM : May 03, 2008

Gald to see the morons in the right wing are still sticking up for the village idiot. Hey moron it was a conservative that realized this the FED chairman is a Republican and he see the writing on the wall. To bad neo cons are dumber than dirt.

That said perhaps the FED should make this retroactive. Of course you should never charge more than you can pay off in a month but that does not stop the credit card companies from increasing you credit limit and making you all kinds of deals to get you to charge it. And the village idiot and his rubber stamp congress made it next to impossible for you to get out. Unless you are rich like Bear Stearns. Look as how many exec. got to keep their jobs with JPMorgan talk about wealfare for the rich.

Never again the conservatives had their chance with me and showed me just how compasiniote they were.

[bravo602]

About time. . .talk about moral injustice! I''ve been wondering where ethics had gone! Need to also tackle health insurance rates. . . we''re drowning here!

[sioux4life1]

Word to the wise, Number one on the list should be CAPTIAL ONE with its interest rate at 25 to 28 % They prey on the poor,working poor seniors and disavantaged. Call preditor cards and lending if you will. They are the most difficult to deal with and they outsourced their help to India. Credit cards are the scourge of our times.

[truthspeake2]

The fox is guarding the hen house once again, just like back in the 80''s when OUR government did away with being able to use the interest charged on credit cards as tax deductions. So once again, we are supposed to believe that enacting new laws/legislature that they are doing this in OUR best interest? Right....LOL

[jlcohen--2008]

to scttbrunson: 48 states had usury laws. The Supreme Court ruled that your state couldn''t protect you if your bank/credit card co. was in a different state. The interest rate is now applied from the state that the bank is in, not the customer. So the credit card companies all set up shop in the two states that have no usury limit: Delaware and South Dakota.

[missingamerica]

Pretty funny, huh?

The Republicans changed bankruptcy laws to heavily favor the financial industry over the small debtor...so what did the financial industry do?

Promptly instituted as many debt-enhancement programs - from credit card usary to blowing bubble-mortgages everywhere - as they could, because now the consumer couldn''t walk away from a bad deal.

lollll...the eternal Republican lie: "Business in a capitalistic society is self-regulating; the market does not reward corruption or fraud.".

My glutteous maximus.

[singingrick]

It''s about time. How many other industries can change the price of something after you purchase it?

[enlightened-]

Hillary Clinton voted for a cap on interest rates in 2005, while she was in the Senate. Her opponent, Barack Obama voted AGAINST the same capping of the interest rates, in a move to earn favor with other constituents...Politics as usual Mr. Obama...

[Keypinitreel1]

Credit Card companies = Bloodsuckers of the poor

I dont have any problems with them because I learned my lesson. But it was a bought lesson.

They charge you unreal interest

Some charge you account fees on top of account startup fees

They even charge you to pay them... 10 dollar online payment fee... what the hell is that?! But youd rather pay it because sending a check in the mail is too risky....

They raise your rates on all accounts for being late paying on one single account.

Credit Card companies are as big of a reason America is in bad shape economically as gas companies and Predatory mortgage lenders.

Usury runs wild in the US

Usury is what it is... it was illegal during biblical times and it should be illegal now...

Dam the Money-changers! To hell with the profiteers.

[providence_d]

Posted by bobnjersey at 09:13 AM : May 03, 2008

For another way not to go into bankruptcy go to
www.shipwrecksoul.blogspot.com see if this is a good way not to default on your debt owed?

[walt1944-2009]

This is all BS!

The Fed will NEVER get tough with business, especially banks and money lenders. The banking industry has a powerful lobby, just like other businesses (except the consumer who has NOTHING!) and will make sure that they keep making those terrific profits thru huge interest rates and usuary "pure profit" fees!

The banks and money lenders aren''t going to allow ANYONE to destroy their "money making machine".

So is the Fed stuffed full of blueberry muffins by saying this? YOU BET IT IS!!!

SIG HEIL, BUSH!!!!
sig heil, more of the same, McCain!!!

[lorinkundert]

How about re-enacting and enforcing usury laws?

[bobnjersey]

[Guess this was an issue the Clintons just couldn''''t be bothered with, they were running such a great economy or somethin''''.]
[Posted by gkc99 at 09:39 PM : May 02, 2008]

rumour has it that they wanted to do something ... but the republican controlled congress dating from 1994 thru 2006 just wouldn''t allow it.

in case your memory is fuzzy ... which appears to be the case ... they called this new control of congress the ''Republican Revolution'' ... and had a nice little linguistic manipulator for the masses that they called the ''Contract with America". the contract appears to still be open.

it took a few years ... but by roughly 2000 they had another little linguistic manipulator that they coined "Compassionate Conservatism". most are still trying to find traces of this.

then of course there was the new and improved bankrupcy law legislation in 2005 ... this was called "the bankruptcy abuse prevention and consumer protection act of 2005" ... makes you wonder who the abusers were and exactly what it''s protecting.

[bobnjersey]

[Basically, they have one interest rate for the rich. That rate just dropped to 2%.
(Posted by ubrew12)

HUH? Which tax table is that?]
[Posted by trapbreak at 11:52 PM : May 02, 2008]

the fed funds rate is now at 2% ... it''s one of the prime rates.

[scttbrunson]

Why hasn''t the government set an interest rate cap against usury? Let''s face it the credit card companies are it for the money. Relying on the scruples of the credit card companies to act in a responsible manner is pure delusion. Business is inherently unscruplous.

[facts6]

Get your credit card from a credit union. They have single digit interest rates.

No matter what the gurus say its OK to use that card for big items and emergencies. I have to.

[gkc99]

Once they rein in these swindlers, if possible, they might turn their attention to other abusive groups (say, residential moving companies), or even step up and take the role government is supposed to take, protecting its citizens from predators.

We''re supposedly being protected at great cost from some shadowy groups half way around the world.

How''s about the government protecting us from the swindler, cheats and thieves that are a lot closer to home?

But the Bushits wouldn''t like that! That''s their constituency!

[enlightened-]

You can all thank Barack Obama and his political views for the Credit card Crisis. When he had the chance, he voted AGAINST capping interest rates for credit card companies. Let''s just hope that he doesn''t become the Democratic nominee...

[bobnjersey]

[OK so I guess all you idiots that say pay it off in thirty days probably had enough money to pay for it in the first place. The reason people use a credit card is to make payments over a period of time, like a loan and not just a thirty day loan.]
[Posted by bjli69 at 04:05 AM : May 03, 2008]

if you can''t pay it back in the 30 day timeframe ... it should be in the category of ''i can not afford this''. with this mode of use ... the card could be renamed ''convenience card''.

you''re way of looking at it makes it a ''loan card'' ... and makes you one of the credit card companies ''best customers''.