Hidden penalties, sudden interest rate hikes, and deceptive language are just a few of the questionable tactics used by credit card companies to extract money from increasingly stressed consumers. Now, some on Capitol Hill are trying to regulate the more abusive practices.
With bills actually moving through both houses of Congress, the credit card lobby is finding itself on the defensive, and turning out in force to oppose the legislation.
As we reported in January, Sen. Mark Udall is carrying the Credit Cardholders Bill of Rights reform legislation with New York Sen. Chuck Schumer. That bill would further clamp down on deceptive and unfair practices more immediately than those outlined in federal regulators’ new rules introduced in December that curiously won’t take hold until July 2010.