I read this today and found it interesting. More should be done to protect the consumers from this type of USURY!
The Federal Reserve will soon unveil a broader plan to protect consumers from abusive credit card practices than a proposal it issued last year, a
Fed official told lawmakers on Thursday.
The Fed's new plan, which it hopes to finalise by December, would restrict retroactive rate increases and other fees that consumer groups and
lawmakers have criticised as exorbitant.
In February, US House of Representatives Democrats introduced a Bill to stop arbitrary interest rate increases, penalties for consumers who pay only a
portion of their balances on time, and excessive fees charged by credit card issuers.
Sandra Braunstein, director of consumer affairs at the Fed, acknowledged that a Fed proposal last June did not go far enough to help consumers. That
plan would have required plain-English disclosures by credit card issuers to help consumers understand fees and rates.
"Careful measures that would restrict credit card terms or practices may, in some instances, be more effective than disclosure to prevent particular
consumer injuries," Ms Braunstein told a House Financial Services subcommittee hearing.
