Did the Democrat's Credit Card Act of 2009 help or hurt you?

[Badmutha]

Financially and economically speaking, did the Democrat's Credit Card Act of 2009 help or hurt you?

If we remember........The Democrat's Credit Card Act of 2009 was going to help We The People, it was going to provide the consumer with a Credit Card Bill of Rights, and levy all sorts of regulations against the evil banks and greedy credit card companies.

Obama signed the law in May 2009.....and almost two years later we can all give testament to the statist law of Punishing Success while Rewarding Failure.......and the universal law of Government Action w/ unitneded consequences.

Yes thanks to Democrats we all now have a Credit Card Bill of Rights........and the 59% APR that came with it.

Credit card interest rates hover near record highs of 15% - Jan. 28, 2011

Credit card rates at record highs near 15%

NEW YORK (CNNMoney) -- Interest rates are now hovering near record highs, at an average rate of 14.72%. And if your credit is bad enough, you could even end up with a rate as high as 59.9% APR.

That's because while the CARD Act helped crack down on certain fees and requires more disclosures, it didn't cap every credit card holder's worst enemy: interest rates.

Sure, the new rules prevent banks from raising most interest rates retroactively, but there's no limit on the rates they can charge new customers.

"Rates are going up because card issuers know that once you get a card they can't raise the rates, so they're raising rates on the front end to ensure they get the revenue from that interest," said Beverly Harzog, credit card expert at Credit.com.

Personally speaking, prior to Obama's Credit Card Reform, I had credit cards with APRs as low as 1.99%. My business had lines of credit with APRs as low as 5-8%. And everday it seemed my mailbox was flooded with new offers of low priced affordable credit.

Needless to say, those days, those reasonable offers, and low APRs are almost all gone.

Thanks Obama.....thank you Democrats.....for all the "help".
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[Dirty Harry]

Credit Card Bill of Rights
• Creditors cannot increase the annual percentage rate (APR) during the first 12 months of opening up an account.
• Creditors are required to provide consumers with a 45-day advance notice of changes in rates and significant contract changes. Rates that change due to a change in the index that the rate is based on are excluded from this 45-day notice requirement.
• Promotional rates need to be in effect for at least six months from the beginning date of that promotion.
• Creditors need to provide a 30-day advance notice of an account closure.
• With certain exceptions, credit card issuers are prohibited from charging a finance charge based on the double billing cycle method.
• Creditors are prohibited from charging a fee on an outstanding credit card balance at the end of the billing period if the fee is attributed to the interest accrued on an outstanding balance that was fully repaid during that preceding billing period.
• Consumers have the right to reject a new credit card after the creditor notifies a consumer reporting agency of its corresponding account.
• Creditors are required to remove information provided to a consumer reporting agency about newly established credit card accounts if the consumer has not used or activated the account and and if the consumer contacts the creditor within 45 days of its establishment to close it.
• If two or more different APRs apply to different portions of an outstanding balance, the amount of any payment above the required minimum payment needs to be applied to the balance with the highest APR first and then to lower APR balances.
• Creditors are required to provide a grace period for payments even if the cardholder takes advantage of a promotional rate balance or deferred interest rate balance.
• Creditors are required to send credit card statements at least 21 days before the due date of the outstanding balance.
• Creditors are prohibited from providing credit to consumers under age 18 (unless they are emancipated under state law, or the consumer's parent or legal guardian is designated as the primary account holder).
• For college students who do not have a co-signer, the maximum amount of credit extended will be limited to the greater of 20 percent of the student's annual gross income or $500 dollars. The aggregate amount of credit extended from all of their credit cards will be limited to 30 percent of the student's annual gross income (for the recently completed calendar year).
• Creditors are prohibited from opening a credit card account for any college student who does not have any verifiable annual gross income or already maintains a credit card account with that creditor, or any of its affiliates.
• Creditors are prohibited from charging a fee to make telephone and web-based payments. However, a fee may be charged for expedited telephone payments made on the due date or the day before the due date.
• Creditors are required to post their written credit card agreements on the inter



Credit card rates are higher to make up for all the defaults and bankruptcies caused by Bush's recession. Anyone that is stupid enough to charge on a credit card that charges over 15% deserves what he gets.

 

[Badmutha]

Credit card rates are higher to make up for all the defaults and bankruptcies caused by Bush's recession. Anyone that is stupid enough to charge on a credit card that charges over 15% deserves what he gets.

Well dont let the facts get in the way.........

Credit card interest rates hover near record highs of 15% - Jan. 28, 2011

"Rates are going up because card issuers know that once you get a card they can't raise the rates, so they're raising rates on the front end to ensure they get the revenue from that interest," said Beverly Harzog, credit card expert at Credit.com.

Never let a crisis go to waste you know.....
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[Chappy]

If the only thing the Credit Card Accountability, Responsibility and Disclosure Act did was to cause me to receive fewer “reasonable offers” in the mail from credit card companies, I would be greatly pleased. As it is, this important and valuable legislation introduced critical consumer protections that will help ordinary people who have been victimized by these “reasonable offers” for decades.

 

[Badmutha]

If the only thing the Credit Card Accountability, Responsibility and Disclosure Act did was to cause me to receive fewer “reasonable offers” in the mail from credit card companies, I would be greatly pleased.

.....well was that the only thing? How those rising APRs treating you Chappy?

As it is, this important and valuable legislation introduced critical consumer protections that will help ordinary people who have been victimized by these “reasonable offers” for decades.

Protection for the Irresponsible........Punishment for the Responsible........tis the liberal way.....
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[Dirty Harry]

Well dont let the facts get in the way.........


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You sure did. One would have to be a complete fool to believe the credit card law led to the increase in rates. The higher risk of credit cards and more defaults during hard times caused it.
Rates for people with excellent credit have dropped significantly.

 

[digsbe]

I don't own a credit card, so it did not affect me.

 

[Badmutha]

You sure did. One would have to be a complete fool to believe the credit card law led to the increase in rates. The higher risk of credit cards and more defaults during hard times caused it.
Rates for people with excellent credit have dropped significantly.

I have perfect credit....almost 100 lines of credit....and my APRs didnt change much after the recession hit. But my how they began to rise once Democrats passed their Credit Card Act.......

........lets blame it all on the recession.......and not let this crisis go to waste.......especially for the willfully ignorant.
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[Dirty Harry]

I have perfect credit....almost 100 lines of credit....and my APRs didnt change much after the recession hit. But my how they began to rise once Democrats passed their Credit Card Act.......

........lets blame it all on the recession.......and not let this crisis go to waste.......especially for the willfully ignorant.

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The credit card companies took a beating after the recession began. That is why rates were raised. They have to make a profit too. The law had nothing to do with it. It just dishonest political spin.
Your rates went up to pay for the deadbeats.

 

[Badmutha]

The credit card companies took a beating after the recession began. That is why rates were raised.

.....and your basing this contention on what?

They have to make a profit too. The law had nothing to do with it. It just dishonest political spin.
Your rates went up to pay for the deadbeats.

So lets say government passed a law.....that limited their profits (via limiting fees, penalties, ect ect).......they would still have to make said profit wouldnt they? Oh wait......

Thanks for playing.....
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[Dirty Harry]

.....and your basing this contention on what?



So lets say government passed a law.....that limited their profits (via limiting fees, penalties, ect ect).......they would still have to make said profit wouldnt they? Oh wait......

Thanks for playing.....
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The credit card companies have been screwing people forever. A law to protect consumers from getting raped by them is a good thing. They raised their rates to make up for defaults and to maximize profits. Blaming higher rates on the new law is just stupid and political spin. Ny rates have dropped in the last year.

 

[earthworm]

Credit Card Bill of Rights
• Creditors cannot increase the annual percentage rate (APR) during the first 12 months of opening up an account.
• Creditors are required to provide consumers with a 45-day advance notice of changes in rates and significant contract changes. Rates that change due to a change in the index that the rate is based on are excluded from this 45-day notice requirement.
• Promotional rates need to be in effect for at least six months from the beginning date of that promotion.
• Creditors need to provide a 30-day advance notice of an account closure.
• With certain exceptions, credit card issuers are prohibited from charging a finance charge based on the double billing cycle method.
• Creditors are prohibited from charging a fee on an outstanding credit card balance at the end of the billing period if the fee is attributed to the interest accrued on an outstanding balance that was fully repaid during that preceding billing period.
• Consumers have the right to reject a new credit card after the creditor notifies a consumer reporting agency of its corresponding account.
• Creditors are required to remove information provided to a consumer reporting agency about newly established credit card accounts if the consumer has not used or activated the account and and if the consumer contacts the creditor within 45 days of its establishment to close it.
• If two or more different APRs apply to different portions of an outstanding balance, the amount of any payment above the required minimum payment needs to be applied to the balance with the highest APR first and then to lower APR balances.
• Creditors are required to provide a grace period for payments even if the cardholder takes advantage of a promotional rate balance or deferred interest rate balance.
• Creditors are required to send credit card statements at least 21 days before the due date of the outstanding balance.
• Creditors are prohibited from providing credit to consumers under age 18 (unless they are emancipated under state law, or the consumer's parent or legal guardian is designated as the primary account holder).
• For college students who do not have a co-signer, the maximum amount of credit extended will be limited to the greater of 20 percent of the student's annual gross income or $500 dollars. The aggregate amount of credit extended from all of their credit cards will be limited to 30 percent of the student's annual gross income (for the recently completed calendar year).
• Creditors are prohibited from opening a credit card account for any college student who does not have any verifiable annual gross income or already maintains a credit card account with that creditor, or any of its affiliates.
• Creditors are prohibited from charging a fee to make telephone and web-based payments. However, a fee may be charged for expedited telephone payments made on the due date or the day before the due date.
• Creditors are required to post their written credit card agreements on the inter



Credit card rates are higher to make up for all the defaults and bankruptcies caused by Bush's recession. Anyone that is stupid enough to charge on a credit card that charges over 15% deserves what he gets.

Agree,agree,agree
I have not used a true credit card in years,many years.. Those who do and then cry.....grow up !

 

[earthworm]

If the only thing the Credit Card Accountability, Responsibility and Disclosure Act did was to cause me to receive fewer “reasonable offers” in the mail from credit card companies, I would be greatly pleased. As it is, this important and valuable legislation introduced critical consumer protections that will help ordinary people who have been victimized by these “reasonable offers” for decades.

Actually, this junk mail is useful, I have a paper burning heater in the bathroom, its the only heat, so bring it on, foolish business...

 

[Badmutha]

The credit card companies have been screwing people forever.

So we went from "They have to make a profit" to "credit card companies have been screwing people forever"..........

Funny I didnt feel penetration when I had my 1.99 APRs.......

A law to protect consumers from getting raped by them is a good thing. They raised their rates to make up for defaults and to maximize profits. Blaming higher rates on the new law is just stupid and political spin.

Well if you feel a law that rewards the Irresponsible at the expense of the Responsible is a good thing....so be it.

Ny rates have dropped in the last year.

Well at least we know where you come down on this my Irresponsible friend........

....and what Bank or Financial Institution was it that dropped your rates?
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[earthworm]

.....well was that the only thing? How those rising APRs treating you Chappy?



Protection for the Irresponsible........Punishment for the Responsible........tis the liberal way.....
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Is that a fact ?
You think its OK to defraud the elderly and those with less education.....
Is this what all conservatives "think" ???
And to think that I used to be a conservative(Barry Goldwater 1964)

 

[Badmutha]

Is that a fact ?
You think its OK to defraud the elderly and those with less education.....
Is this what all conservatives "think" ???
And to think that I used to be a conservative(Barry Goldwater 1964)

.....No I dont vote Democrat......
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[molten_dragon]

It hasn't affected me at all. I pay my credit card off every month, so I don't pay interest. To be honest, I'm not even sure what my interest rate is.

 

[Your Star]

It hasn't affected me at all. I pay my credit card off every month, so I don't pay interest. To be honest, I'm not even sure what my interest rate is.

That is quite smart. Using a credit card the way the company wants you to is quite dumb. The only reason I see having a credit card is to avoid carrying around tons of cash.

 

[molten_dragon]

The only reason I see having a credit card is to avoid carrying around tons of cash.

Well, this and the fact that I earn cash back on my credit card.

 

[UtahBill]

It is stupid to use a credit card the way the companies want you to.....carrying debt month to month on credit cards is for suckers...

 

[Badmutha]

It is stupid to use a credit card the way the companies want you to.....carrying debt month to month on credit cards is for suckers...

Just curious......do you have or have you ever had a mortgage?

.......were you a sucker?
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[UtahBill]

Just curious......do you have or have you ever had a mortgage?

.......were you a sucker?
..

There is a huge difference between card debt and a mortgage. You know that, right?
Mortgage, low rate compared to the card, helps you buy an asset that grows in value, until recently.
The interest on your mortgage is tax deductible, not so on the card.
Stop paying the mortgage and you lose your house. Stop paying your credit card bill and you just lose access to more money.
We paid off our AZ house in 8 years, start to finish. Later on we did a home equity loan at a low rate to help build the much larger house in Utah.
We have about $600K in home equity, and $39K in the home equity debt and it will be paid off in a few years.
Plus the biggy, if you pay off your house and lose the tax deduction, you are actually spending less out of pocket to "own" your home.
I would rather pay the addtional taxes that a lot more in interest.
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I paid card interest once since we got our first card in 1969, the bill got lost in the shuffle of an interstate move.....and I was overdue by a month.

So, how big a sucker are you?:2razz:

 

[Badmutha]

There is a huge difference between card debt and a mortgage. You know that, right?
Mortgage, low rate compared to the card, helps you buy an asset that grows in value, until recently.

Prior to the Democrat's wonderful credit card reform........

.........I had cards with APRs as low as 1.99%......and I used that credit to expand and grow a business.....after a nice ROI....I have yet to feel like a "sucker".

The interest on your mortgage is tax deductible, not so on the card.
Stop paying the mortgage and you lose your house. Stop paying your credit card bill and you just lose access to more money.
We paid off our AZ house in 8 years, start to finish. Later on we did a home equity loan at a low rate to help build the much larger house in Utah.
We have about $600K in home equity, and $39K in the home equity debt and it will be paid off in a few years.
Plus the biggy, if you pay off your house and lose the tax deduction, you are actually spending less out of pocket to "own" your home.
I would rather pay the addtional taxes that a lot more in interest.
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I paid card interest once since we got our first card in 1969, the bill got lost in the shuffle of an interstate move.....and I was overdue by a month.

So, how big a sucker are you?:2razz:

Well if 8 years of paying interest is the cut-off.........
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[UtahBill]

Prior to the Democrat's wonderful credit card reform........

.........I had cards with APRs as low as 1.99%......and I used that credit to expand and grow a business.....after a nice ROI....I have yet to feel like a "sucker".



Well if 8 years of paying interest is the cut-off.........
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The thread is about credit cards, right? Most Americans use their cards to accumulate debt, not grow a business, and they are suckers to let the card companies control them.
I know people with bad credit paying high rates on cards, and cars. They go thru bankruptcy, and start over with the same stupidity. You can't deny that....it is why bankruptcy laws were changed. Some of these people are family.
I also know someone who used his cards to extend the running of his business into the ground, racking up a lot of debt, then defaulting and filing bankruptcy. The card companies got screwed by him. He kept his house and Tahoe, only has to pay the govt debt, taxes, fica, etc.
That was malicious....

 

[Dirty Harry]

Credit cards enable people to live beyond their means and buy things they can't afford.