Obama ready to sign credit card reform
Friday, May 22nd, 2009The legislation “is not going to be a hanging for banks, but I think Congress has collared them and are bringing them in,” says Robert McKinley, founder of CardTrak.com, which consults with banks. “It’s been the Wild West for the card industry for a long time.”
The changes will affect most households in America. About 90 million households carry credit cards, with an average debt load of more than $10,500, according to CardTrak.com. The curbs, which mostly take effect in nine months, deal with controversial practices including:
•Interest rate increases. Issuers can generally raise rates on existing credit card debt only if consumers have paid their bill more than 60 days late.
