Come down hard on credit card companies

I'd hate to have so many credit cards it's as if your desperate for money and credit. The card is a mini loan, look at a credit card comparison and they are all just about the same as loan agreements. Why would anyone want to take on so many and chance falling behind on their payments. I have 2 credit cards that i hardly use. I used my debit card most often knowing there isn't any interest to pay.

Keith,

Credit Cards Offers

Banks have tightened their credit standards to prevent bankruptcy, just like what happened to the Lehman Brothers Corporation. Obama is really trying his best to protect the consumers. He had seen their struggles in paying for sky-high interests from their loans. payday loan info

THE DIFFERENCE IS A LOAN SHARK CAN NOT CHANGE TERMS AFTER A CUSTOMER HAS DETRIMENTALLY RELIED --> I think you are mistaken. Loan sharks are actually more unjust and dangerous than CC's. Some loan sharks will take your assets if you don't pay. Some start at a percentage and if you miss payments they up the percentage by points. There is no negotation with loan sharks. Some loan sharks will physically force you to pay. Most loan sharks follow illegal practices. I have not heard of any friendly loan sharks out there. If you know of any, let me know. Perhaps you are referring to something else when you use the term "loan shark".

I agree though that CC's practices are less than desirable. They are just like loan sharks that will come after what you own, go after your credit rating etc., without physically forcing you to pay.

However, when you borrow from someone or an institution, whether it is for a home, a car, anything at all; It is your responsibility to pay. And CC's do balloon interest rates, but that is in the fine print. It is the gotcha that many overlook in a contract; a Credit Card company will capitalize on that.

I wonder how organized crime learned their tactics?

When I charged the items I knew I would have to pay them off. And I plan on keeping my commitment. My issue is that I was one of the lucky ones that read the small note on my bill that if I did not opt out, and close my account, they would raise my rates to 30.99%. I opted out and continued to pay my bill. 3 months later I had another small note that stated I had to opt out again. When I called Bank of America they told me they were leveling everyone's interest rate, over 50 million people, but could not guarantee that I would not have to opt out again and again and again. I should not have to keep my guard up on a closed account after I accepted their first offer to opt out and close my account.

Just a wee bit unfair!
"In the meantime, credit card issuers have raised rates and fees on millions of consumers as they grapple with ballooning loan losses. From March 2007 through February 2008 alone, about 70 million credit card accounts — nearly one in four accounts — had their interest rates raised, costing consumers at least $10 billion in additional finance charges, estimates Pew Charitable Trusts, a public policy group."

Reuters: Its coming, CC's just stalled it -
"A handful of bills that seek to clamp down on credit card practices are currently pending in the House and Senate. The Federal Reserve has issued a rule that would restrict issuers' ability to raise the interest rate on existing debt, among other measures, but the rule has been widely criticized because it doesn't take effect until July 2010.

FIND MORE STORIES IN: Congress | White House | United States Senate | Federal Reserve | Charles Schumer | Georgetown University | Treasury Secretary Timothy Geithner | Lawrence Summers | Chris Dodd | Valerie Jarrett | Pew Charitable Trusts | Whac-A-Mole
In the meantime, credit card issuers have raised rates and fees on millions of consumers as they grapple with ballooning loan losses. From March 2007 through February 2008 alone, about 70 million credit card accounts — nearly one in four accounts — had their interest rates raised, costing consumers at least $10 billion in additional finance charges, estimates Pew Charitable Trusts, a public policy group.

I understand that the Debit Card Gives you access to purchases in a convenient way with out going into debt but...Its still backed by VISA. Every time you use it the merchant and the bank have to pay a fee. If you remember, we all had to pay for those debit cards when they first came out but competition amongst banks lead them to eat the fees.

My point is that the Credit Card Companies (Banks)have us sucked into this addiction and they feed it to keep us in.

Another point, Bank of America's CC division is not mentioned regarding their current problems. Why? Because, even though that division has had an increase in write downs they are still in the black. At least according to some recent articles I've read.

These CC companies really don't need to stick it to people but they are taking advantage of our current economic fears and soaking us for more profit. Is it legal, yes. Ethical, NO.

The only thing I find legally questionable is actually changing the very contract you signed with new terms.

I don't have time for round and round, I've not been able to get cell ph's, car rentals, or airline tick's w/o a CC. I've tried.
Happy for you if you can.

I want to see these lending practices stop so I don't have to worry about it, whether it is in a contract or not. Yes it won't fix everything. No it doesn't get rid of the problem of irresponsible spenders. But if 9 in 10 people have this problem, why haven't we fixed or at least worked a way of making sure it doesn't happen so often?

After all this, I do agree that the credit cards have been extremely irresponsible/evil in their lending practices. I fell for it a few years ago when I paying off all our debt. I surfed a card balance to a zero % interest card. I setup a recurring payment in my online banking. Yep, you guessed it, they changed the due date back a couple days and before I knew it, my zero % interest became 31% over the course of a couple of months because I was late. This angered me to no end. However, I understand that I signed up for it and am ultimately responsible for the consequences. This is one reason I don't use the stupid things.