So, Seeing that Americans are struggling to pay their credit card debt on time, Joe Biden is riding to the rescue by putting a cap of $8 on late fees.
See here:
https://www.cbsnews.com/news/credit-card-late-fees-cfpb-biden-strike-force/
[EXCERPT]
The Consumer Financial Protection Bureau’s new regulations will set a ceiling of $8 for most credit card late fees, or require banks to show why they should charge more than $8 for such a fee. The effort will save Americans up to $10 billion a year, the agency estimates.
The push comes a year after President Joe Biden vowed to ban junk fees in his 2023 State of the Union address, calling them “unfair.” Junk fees generate big money for businesses, ranging from airlines to financial services firms, with consumers paying at $90 billion annually in excessive charges, the White House said on Tuesday.
“In credit cards, like so many corners of the economy today, consumers are beset by junk fees and forced to navigate a market dominated by relatively few, powerful players who control the market,” said Rohit Chopra, director of the CFPB, in a statement.
“— rose to a level not seen since 2012.”
...hmmmm. who was the peabrainOFTUS at that time?
This is why I rarely use my credit card and pay off the balance on a timely basis.
How the bleep can Biden “cap” anything?
When will Joe’s face show up on all food items etc etc ,LOL
This is how you win over stupid voters, that is, most Americans. Give them a token, illegal relief from the problem created by the White House Biden handlers, and those voters will stay in your camp.
I didn’t realize that the President had the authority to unilaterally cap fees. Is there a law that was passed which gives him this authority or is this done via executive order with little statutory ground to stand on?
My Exxon card just upped the interest rate to 34.4% for balances not paid.
With this kind of control over businesses, we really are a socialist country.
What a curious way to write a stat.
Credit cards should only be used as a cash management tool by those who could very easily pay cash for the transaction, and have the financial maturity to not spend the payoff amount at the end of the monthly cycle on other things.
Otherwise, they should be cut up and destroyed.
“Seeing that Americans are struggling to pay their credit card debt on time, Joe Biden is riding to the rescue by putting a cap of $8 on late fees. Our president never misses a trick to make our life easier, does he?”
Maybe fewer people will qualify for credit cards.
But then…the govt will ride in and mandate that the underserved communities get their share of credit too, won’t they?
...and pegs everyone's FICO score at 850.
In response, CC card companies should just cancel the cards of delinquent users.
“caps late fees” means the rest of us will help bail out the borrowing addicts.
bkmk
When banks can no longer recover delinquent credit card debt, they'll stop issuing cards, starting with the worst credit risk customers. Big Gov steps in by issuing their own, like SNAP cards for everything, not just food. Now they know everything you buy, and can cut you off at a moment's notice.
That's a lot of power.
The account is till racking up interest even faster now because of the late (or no) payment of the revolving balance.
I don't like the use of regulatory agencies to issue diktats like this, but it is really like putting a band-aid on a gushing wound.
-PJ