Hear me out guys! Please read this, especially the part in bold. This is a sneaky bill that appears good but is really an attack on the way Free Markets should work. Government should not make rules for private banks!!!
I made a big long rant last week about how if you be responsible with credit cards, they can be really beneficial, because if you pay them off every month, you never pay interest, and certain cards give you rewards points. You can literally make money off of your cards because they send you checks in the mail as you build up rewards.
Now what I see in this bill is punishment for the responsible people! And it's because Government is sticking its nose into affairs they should not be messing with!!
I feel sorry for those in debt, but if you work hard and be responsible, your rates will go down as your credit score goes up. Like I said, if you stay within your means you will never pay them a dime, even get paid to use their cards.
Companies in a "Free Market" society charge appropriate interest rates based on risk - not Government regulation. Now the chronic-delinquents and non-payers will be treated the same as the people who pay off every month. Because of this, the banks need to make up for lost money from the lousy customers somehow - so they will have to punish everyone - like you read above - annual fees, no more rewards programs.... I even heard that banks may charge interest on every single purchase, regardless if you pay it off on time.
THIS IS THE SAME CRAP AS THE POLITICALLY-CORRECT MORTGAGES FORCED ON BANKS IN THE CLINTON ERA. IT IS INTERFERENCE IN THE FREE MARKET. BAD FOR CAPITALISM, BAD FOR AMERICA.
Furthermore....
This bill was, for some suspicious reason, attached to a provision allowing Concealed Carry in National Parks. I'm all for CC anywhere. But the Credit Card portion pisses me off! Government should get out of the business of private banks!!
They duped us into accepting this bill because it slightly advances the cause of gun-owners. Well the bills should have been separate, and the credit card portion should have been shot down...
The House voted Wednesday to join the Senate in approving sweeping restrictions on the credit card industry.
The House approved the credit card overhaul measures by a vote of 361-64. Those measures would enact new restrictions on the industry, including a requirement that customers penalized by higher interest rates because they missed a payment are given a chance to reclaim their lower rate after six months.
The new restrictions would protect debt-ridden consumers from many of the surprise charges common in the industry, like over-the-limit fees and a charge to pay the bill by phone.
Some of the changes, including a requirement that cardholders receive 45-days' notice before their rates are raised, are already on track to take effect in July 2010 under new regulations by the Federal Reserve.
But the legislation would put these changes into law and go further in restricting when and how banks charge people and who could get a card.
For example, the bill would require people under 21 to prove first that they can repay the money or that a parent or guardian is willing to pay off their debt if they default.
As banks scramble to make up for the lost revenue, cardholders who pay off their balance in full each month could also see annual fees become the norm and lucrative rewards programs canceled.
On the plus side for consumers, card holders who see their interest rate skyrocket because they have been late on a payment would get a chance at their older, lower rate if they pay their bill on time each month for six months.
I made a big long rant last week about how if you be responsible with credit cards, they can be really beneficial, because if you pay them off every month, you never pay interest, and certain cards give you rewards points. You can literally make money off of your cards because they send you checks in the mail as you build up rewards.
Now what I see in this bill is punishment for the responsible people! And it's because Government is sticking its nose into affairs they should not be messing with!!
I feel sorry for those in debt, but if you work hard and be responsible, your rates will go down as your credit score goes up. Like I said, if you stay within your means you will never pay them a dime, even get paid to use their cards.
Companies in a "Free Market" society charge appropriate interest rates based on risk - not Government regulation. Now the chronic-delinquents and non-payers will be treated the same as the people who pay off every month. Because of this, the banks need to make up for lost money from the lousy customers somehow - so they will have to punish everyone - like you read above - annual fees, no more rewards programs.... I even heard that banks may charge interest on every single purchase, regardless if you pay it off on time.
THIS IS THE SAME CRAP AS THE POLITICALLY-CORRECT MORTGAGES FORCED ON BANKS IN THE CLINTON ERA. IT IS INTERFERENCE IN THE FREE MARKET. BAD FOR CAPITALISM, BAD FOR AMERICA.
Furthermore....
This bill was, for some suspicious reason, attached to a provision allowing Concealed Carry in National Parks. I'm all for CC anywhere. But the Credit Card portion pisses me off! Government should get out of the business of private banks!!
They duped us into accepting this bill because it slightly advances the cause of gun-owners. Well the bills should have been separate, and the credit card portion should have been shot down...