>>this is a revenue generator for the credit card companies.
1. Credit card companies are against this because they want lower minimum payments. Low minimum payments, and the people who base payments on them, are revenue generators for the CC companies.
2. Defaults do not help credit card companies. They want to be paid back on time, as slowly as possible.
3. The idea that credit card companies want this law so people will default or miss payments and then the CC company can charge higher interest makes no sense either. The CC company can just charge higer interst if it wants. It does not need an excuse. For those few who are adversly affected and their interest rates do go up, its not enough to outweight all the dowsides from the CC perspective.
I believe they would appreciate a higher interest rate being paid. If that is a result of people being unable to pay the new minimum, then they get longer payment periods, at a highre rate. The principals will never be paid off.