Posted on 02/05/2023 11:52:50 AM PST by L.A.Justice
The Consumer Financial Protection Bureau is moving ahead with a plan to place new limits on credit card late fees that it says will save consumers money and prohibit companies from charging excessive penalties. But banking groups say the proposal would result in higher costs for consumers.
The proposal comes less than a year after the bureau found that credit card companies in 2020 charged $12 billion in late fees, which have become a ballooning revenue source for lenders.
(Excerpt) Read more at npr.org ...
If the federal government is so interested in regulating and controlling everything (for the good of the people, mind you!) then they should require all credit card holders to attend and pass a course on consumer financial management and budgeting.
They should also require all school children to get the same training. Too many people sink themselves into unmanageable credit card debt out of ignorance and naivety.
Ultimately it is the consumers’ own fault, not the banks’ fault, they are paying too much in fees.
If you must regulate, then regulate some individual responsibility.
This may be a different take on things but sometimes you need to protect the people from themselves first.
If the federal government is so interested in regulating and controlling everything (for the good of the people, mind you!) then they should require all credit card holders to attend and pass a course on consumer financial management and budgeting.
They should also require all school children to get the same training. Too many people sink themselves into unmanageable credit card debt out of ignorance and naivety.
Ultimately it is the consumers’ own fault, not the banks’ fault, they are paying too much in fees.
If you must regulate, then regulate some individual responsibility.
This may be a different take on things but sometimes you need to protect the people from themselves first.
You use your credit card the right way. You probably have a good credit score.
So many people get into trouble with credit cards. Then, they claim they’re poor, no matter how high their income is. They cannot control their spending.
“But banking groups say the proposal would result in higher costs for consumers.”
What are they going to do? Start charging for the card to have one? Start charging the card holder transaction fees? Start overcharging vendors who accept them? I can’t see a negative in that at all, because fewer will want them, accept them, or use them.
Which is a good thing...
“or the system fails”
Let it... It would be one of the best things to happen to this country.
I go for credit cards only and pay the full amount each month. That way I get all the benefits and pay no interest. Also my cards keep close watch on the charges to catch fraudulent ones. Funny how alert and effective they can be when they’re on the hook for it.
Crapola...I am missing out on all these benefits, since I pay my credit card bill in full every month. I only charge on credit card which I can pay in full every month.
If there’s any industry I’m worried about going broke it’s not credit card companies.
If there’s any industry I’m worried about going broke it’s not credit card companies.
I understand that credit card holders who pay the minimum due before the due date don’t pay late fees.
Funny how it works that way.
Of course not. Look at the comments on this thread. The American people are soft, weak, and addicted to Big Government.
LOL! You're not a deadbeat, and Synchrony Bank made money on that purchase you made. The bank gets a fee paid to them by the merchant every time you buy something. That's why they want you to use the card.
I was using my card for everything but they were not making any money on me so they told me that I did not appear to be able to pay my card.
Yes. They already get a 3% cut of every sale plus 20-40% interest on balances. Time to reign them in.
I use a credit card for my business. Any suppliers that accept a card and do not charge me the processing fee get paid that way. It's very useful and I pay the card in full every month (obviously). Plus I got over $1k cash back from Capital One last year.
That said, 10 years ago all of my vendors took cards. Over the last few years, one at a time, they are charging 3% to let me pay with a card. The card fees for them turn into mega bucks. Those vendors I pay ACH. That 3% represents a substantial increase in my cost I am not going to pay. I imagine the majority of the suppliers I use will be passing on that processing charge eventually. But....I'm enjoying the 1.5% cash back I'm getting now. Pays for my wife's trip to FL to vist her friends.
Before he was POTATUS, before he was VP he was known as the Senator from MBMA. The credit card companies can and will get away with whatever they want on joementia’s watch.
My bank (WF) gives one extra day to deposit funds to avoid an overdraft charge. Never needed it, but it's there.
White people. Those banks will punish white people.
Have you seen the interest rates the credit card companies charge! Loan sharks offer better rates!
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