Comments on: Credit Card Reform http://www.joetaxpayer.com/credit-card-reform/ Financial Commentary For The Average Joe Mon, 06 Feb 2012 21:56:17 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Robyn - CCD http://www.joetaxpayer.com/credit-card-reform/comment-page-1/#comment-14588 Robyn - CCD Mon, 11 Jan 2010 00:38:16 +0000 http://www.joetaxpayer.com/?p=1357#comment-14588 Your unintended consequences list is interesting and it's really disappointing if these become a standard response to the reform - especially the Reduced/Canceled credit lines and it's credit score implications. "I had a card with no balance whose rate was raised from 7.99% to 17.99%! Thank you comrades for making me pay for those deadbeats!" I'd be interested to know here if that particular card abolished the grace periods as well, if you continue to not be a deadbeat and keep the zero balance the interest rate becomes irrelevant does it not? "Your observation is dead on, the responsible will be hurt, and the irresponsible, saved from the problems they created for themselves." Since it has been a good while now since the legislation was passed have you noticed an open slatter worst outcome response from the lenders? Just saw – link to unintended consequences of CARD will go have a read Your unintended consequences list is interesting and it’s really disappointing if these become a standard response to the reform – especially the Reduced/Canceled credit lines and it’s credit score implications.

“I had a card with no balance whose rate was raised from 7.99% to 17.99%! Thank you comrades for making me pay for those deadbeats!”

I’d be interested to know here if that particular card abolished the grace periods as well, if you continue to not be a deadbeat and keep the zero balance the interest rate becomes irrelevant does it not?

“Your observation is dead on, the responsible will be hurt, and the irresponsible, saved from the problems they created for themselves.”

Since it has been a good while now since the legislation was passed have you noticed an open slatter worst outcome response from the lenders?

Just saw – link to unintended consequences of CARD will go have a read

]]> By: JOE http://www.joetaxpayer.com/credit-card-reform/comment-page-1/#comment-5590 JOE Fri, 29 May 2009 01:26:04 +0000 http://www.joetaxpayer.com/?p=1357#comment-5590 Funny, Augustine, that "deadbeat" is the word used by the banks for us, those who pay in full each month, and therefore pay no interest. Again, thanks for visiting. Likely going to revisit this within the next couple weeks. Funny, Augustine, that “deadbeat” is the word used by the banks for us, those who pay in full each month, and therefore pay no interest. Again, thanks for visiting.
Likely going to revisit this within the next couple weeks.

]]> By: Augustine http://www.joetaxpayer.com/credit-card-reform/comment-page-1/#comment-5574 Augustine Thu, 28 May 2009 15:34:40 +0000 http://www.joetaxpayer.com/?p=1357#comment-5574 And I guess that I got the results of such law before it was enacted: I had a card with no balance whose rate was raised from 7.99% to 17.99%! Thank you comrades for making me pay for those deadbeats! And I guess that I got the results of such law before it was enacted: I had a card with no balance whose rate was raised from 7.99% to 17.99%! Thank you comrades for making me pay for those deadbeats!

]]> By: JOE http://www.joetaxpayer.com/credit-card-reform/comment-page-1/#comment-5486 JOE Tue, 26 May 2009 21:31:37 +0000 http://www.joetaxpayer.com/?p=1357#comment-5486 The regulations address late fees, along with over the limit fees, but the only reference to annual fees is when the fee itself is a disproportionately large percent of the credit offered, e.g. a $100 annual fee on a $250 credit line. If the customer doesn't agree to pay the new annual fee, they can 'not agree' to the new terms, and pay the card off over time, but not using the card for new purchases. Your observation is dead on, the responsible will be hurt, and the irresponsible, saved from the problems they created for themselves. As always, thanks for visiting. Joe The regulations address late fees, along with over the limit fees, but the only reference to annual fees is when the fee itself is a disproportionately large percent of the credit offered, e.g. a $100 annual fee on a $250 credit line. If the customer doesn’t agree to pay the new annual fee, they can ‘not agree’ to the new terms, and pay the card off over time, but not using the card for new purchases.

Your observation is dead on, the responsible will be hurt, and the irresponsible, saved from the problems they created for themselves.
As always, thanks for visiting.
Joe

]]> By: Nick http://www.joetaxpayer.com/credit-card-reform/comment-page-1/#comment-5483 Nick Tue, 26 May 2009 20:48:54 +0000 http://www.joetaxpayer.com/?p=1357#comment-5483 Joe, If a card doesn't currently charge an annual fee, does this bill allow banks to now charge a fee on existing accounts? Or is this only on new accounts going forward? As a result of this legislation, I agree that we are going to see fewer no fee cards, as well as banks doing away with grace periods all together. After reading your post and other on the web, it seems to me that this bill seems to hurt responsible users of credit cards more than it helps (similar to the housing legislation that was passed that hurt responsible mortgage owners). Joe,

If a card doesn’t currently charge an annual fee, does this bill allow banks to now charge a fee on existing accounts? Or is this only on new accounts going forward? As a result of this legislation, I agree that we are going to see fewer no fee cards, as well as banks doing away with grace periods all together.

After reading your post and other on the web, it seems to me that this bill seems to hurt responsible users of credit cards more than it helps (similar to the housing legislation that was passed that hurt responsible mortgage owners).

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