Credit-Card Issuers Find Creative Ways to Skirt New Law

We, the masses of this United Corporations of America, will never get a break from the Credit Card Industry… Even with the credit-card rules going into effect, February 22, 2010, this industry is busy (the greedy little dears) finding more (LEGAL) ways to fleece the hell out of us. It’s never going to end there’s just too much money to be made off us saps. So the next time you swipe your coveted plastic card through a retailer’s credit card machine, to buy some piece of crap imported from China, listen to that awful sucking sound… IT’S MUSIC TO THE CREDIT CARD INDUSTRY’S EARS!



Credit-Card Issuers Find Creative Ways to Skirt New Law

Between now and Feb. 22 when the new credit-card rules go into effect, you’ll see a lot of excited media types talking about all of the good to come out of those regulations, but as a consumer you should worry about what’s still on the menu. The card issuers have been cooking up all kinds of new things that their bottom line will find appetizing,

he Credit Card Accountability, Responsibility and Disclosure Act, known as the CARD Act, aims to help consumers deal with card issuers’ more troubling policies, but by the time this reform is fully in place, the industry will have moved on to new ways to skin the customer, ways that have become evident over the last few months as the first provisions of the law came into play and financial-services businesses scrambled to squeeze through loopholes.

“The provisions of the CARD act were excellent and they addressed key problems but because card issuers are in the business to make money, you had to think they would find other ways to make up for the revenue they were losing because of the law,” said Bill Hardekopf of “Now they are instituting a number of other practices — perfectly legal even after the new law — to make up for lost revenue, and consumers now have some new things to worry about.”

The new law was designed to defeat several bad practices. For example, starting in February, due dates for monthly payments must be the same each month. Any payment amount beyond the minimum must be applied to the highest-rate debt on the account. Rate hikes on existing balances on fixed-rate cards are prohibited under most conditions. Card issuers can’t charge additional fees when consumers pay by mail, electronic transfer, online or phone unless the customer requests an expedited payment to avoid a late fee. Other practices, like “double-cycle billing” — where the issuer adds finance charges for previous billing cycles to an account that was paid off because there was an average daily balance until the debt was paid — are off the menu too.

Out With the Bad, in With the Worse





About thethinkingblue

LIBERAL AND PROUD OF IT! “Liberalism is trust of the people tempered by prudence. Conservatism is distrust of the people tempered by fear.” - William E. Gladstone
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