So with many (most?) cards now heading towards 30% interest rates, why has no one at the CFPB actually started protecting consumers?
While we should have no debt, in real life bumping interest rates from 14% to 30% is just a killer for most families.
And checking account interest rates hover at 0.25% ...
” now heading towards 30% interest rates, why has no one at the CFPB actually started protecting consumers?”
One of the major reasons I distrust Democrat protestations of love for ordinary people is high interest rates on consumer debt.
What the Congress could do is to cap interest rates on debt:
1. first $2,000, 18%,
[this would allow low-income people to finance car repairs on a credit card]
2. second $2,000, Treasury rate+5%, rounded up to an integer percentage, as last officially reported by the Treasury as of the start of calculation period,
[this would keep the credit card industry attractive]
3. any additional amount, Treasury rate+4%, rounded up to an integer percentage, as last officially reported by the Treasury as of the start of calculation period.
Any attempt to dodge any cap by additional instrument or by dividing the debt held shall be considered nefarious.
Any attempt to dodge any cap by nefarious means shall be void and all related interest shall be disallowed and refunded.