Great... in the midst of a bad economy, credit card companies have stifled an attempt to merely freeze rates, thus allowing them to extort more money from consumers. And while the Repubs are obviously the worst ones here, Dems get no favor for the sell-outs they've allowed over the years.
Although I'm disappointed that credit card rates are going up(Never carry a balance, but liked that I had the security of a large credit max and a 6.9% rate), I think it is in the right of these companies.
Seriously, why do so many people carry high balance on cut throat rate credit cards? Cut back on your spending, if you don't have the money, don't spend it. I do believe they should cap credit rates at 20% max, that's enough profit for any company.
Not a fan of the greed, but it's hard to feel terribly sorry for those who rely/abuse too much on credit cards (normal caveats apply).
Why is it illegal to be a loan shark? If this stuff is OK, I would think loan sharking would be as well.
Savings should be used for emergencey's..not credit cards. Using credit cards in emergency's usually forces you to put a large amount on your credit card when you aren't expecting it. This often leads to long-term debt. You should always keep 3-6months worth of expenses in some type of liquid savings/money market/etc.
Credit Card companies are pure evil. However, if you a dumb enough to spend money that you don't have, then you get what you deserve. Most people don't NEED that new HDTV, furniture, clothing, etc.. However, this doesn't apply to those that are in CC debt b/c of an emergency or for things their family needed to survive
So, if you make a bad financial decision or, God forbid, you have to use a credit card for an emergency or health care, it's OK for the credit card companies to screw you? Repeatedly? And remember, we're not talking just interest rates (which I agree is usurious, but was allowed under the ridiculous Bankruptcy Bill that Dems supported in surprisingly large numbers), but all the ticky-tack fees and absurd practices designed to elicit those fees... like making it difficult to post electronic payments, charging you extra for doing so, and taking days to post it.
The noxious interest rate is just the most visible of the disgraceful business practices of the credit card industry.
Credit cards are not an entitlement, at least not yet. The rate is the rate. I like the new regulations passed earlier this year, passed in the Senate by a vote of 90-5, requiring advance notifications of rate changes, prohibitions on raising rates on existing balances, and the rest. In fact, here is a pretty detailed article at MSNBC detailing the provisions of this bill, for anyone who might be interested: Key provisions of credit card reform bill I am a solid conservative and I think this is a good bill. It will have the effect of restricting access to credit cards for quite a few people with weak credit scores, most of whom never should have been eligible to receive them anyway. It will also raise the cost of these credit cards for many others. But the new arrangements will more fairly price the risk of these cards, and once people get used to the new rules, it will probably result in people being a bit more cautious about financing debt on credit cards. That seems like a good thing to me. It is baffling to me that so many people do not seem to understand that banks and credit card companies are businesses that exist to make money for themselves and their shareholders. They are not charities, and it is no mistake when they fail to behave like charities. The whole idea that they should lend money to those who "need" it, in a charitable sense, is absurd. That way of thinking is a significant source of the current financial problems that this country is currently facing, especially with regards to sub-prime loans and the problems with Fannie Mae and Freddie Mac. It would be a huge mistake for us to repeat these same mistakes again, especially so soon after the most recent market meltdown. Will we never learn? The proposals made by the Senate here are just a return to the same policies and practices that brought us to this place to begin with. It might be hard, but we need to let the credit card companies make their adjustments. And we also need to allow their customers to make what adjustments they will, without the government trying to stick its beak in to enable a smooth return to the disastrous policies that enabled the easy credit and excessive borrowing that has done so much to cripple our economy. What a bunch of short-sited political hacks these people are. If you do not like the rates, then do not borrow the money at those rates. Nobody is forcing anyone to do it.
Exactly and they don't let consumers pay those fees out of their payments, they tack them on to the credit card balance for more interest. They charge you even higher fees for same day or quick posting. I mean the consumer has to be aware but damn the companies need to take some kind of responsibility too.
I think a similar, but more advanced, course should be required in college, but what the hell do I know, I just work for a university.
A significant amount of credit card debt and bankruptcy comes from medical expenses and emergencies. When you get hit with ongoing massive medical bills, and you have to use the credit card, a personal finance class doesn't help.
