Cracking down on Credit Companies.

[kmeyrick]

Here's a great article!

http://articles.moneycentral.msn.com...Practices.aspx

The government is finally cracking down on sly, dishonest credit practices. Like shortening your time to pay, fees they don't tell you about, jacking your interest all of a sudden for NO REASON AT ALL. Or two bill cycling, so you can't possibly pay without interest. Or adding security deposits and hidden fees onto your now more "generous line of credit." One of the biggest culprits: Bank of America. (My credit card. Dammit! ) The government is BANNING all of these practices and more. They should have done it way sooner. But better late than never.

Carolyn B. Maloney, (I think) Dem. Rep of NY is pushing to make the laws stricter to protect consumers. It may not be as romantic as fighting to save beautiful whales. But a lot of people have suffered terribly. As always, the working class. If you want, here's her link for her "Credit Card Bill Of Rights"

http://maloney.house.gov/documents/f...OROnePager.pdf

If you want to e-mail your local rep about this, here you go:
https://forms.house.gov/wyr/welcome.shtml

The bill is HR 5244. I wrote, since I think this matters to everyone in the US.

[kmeyrick]

Here's what I just wrote:

Dear Congressman **********,

I am a firm, vigilant voter who has admired your honesty and values. I am writing to you to ask for your support for Carolyn B. Maloney's "Credit Card Bill of Rights," or bill HR 5244. The banks and credit card companies have been dishonest with consumers, responsible bill payers who have suffered or even been financially damaged. People with credit well into the 700's have been treated punitively.

I am a humble school teacher with a mortgage and a dream to pursue another masters and to adopt a child. I will not be able to do that if I fall victim to Bank of America's sly practices. I will rest easy knowing that you will push to protect the citizens of our state.

Sincerely,
*************

[kmeyrick]

No one is responding? C'mon! This is important to everyone, the working class in particular!

[leafylady]

We have spent many years paying down our credit cards. I struggled through more than one statement, trying to figure out if a certain fee or a certain raise in interest fees was justified or not. I still get ridiculous offers for "free" money.
I'm off to check out your link now.

[JTA Mom]

An interesting book that focuses on credit (not just cards, but every form of credit) and how the deregulation in the 1970s put the middle class in jeopardy is "The Two Income Trap: Why Middle-Class Mothers and Fathers Are Going Broke" by Elizabeth Warren. it's a really good read. I borrowed it from the library, and it really opened my eyes. It also gives a lot of good advice in the last chapter about how to protect yourself and what to watch out for.

Ami

[timneh_mom]

I heard about this! All I can say, is, it's about time!! Banks have been making money off people for way too long, and not honestly either!

[kmeyrick]

At least something is going right in the economy now. Lawyers for the bank are whining that these tighter laws will hurt people when trying to get loans. Why? If credit cards are tricky, then people avoid using them. Surely that's not what the credit cards want?

There should be a low, reasonable annual fee so they can make their money. They also get money from companies that accept credit cards. There will always be people who pay late. The way they are treating good customers is completely unfair.