Comments on: Congress, candidates call credit card companies on the carpet http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/ Think. It ain't illegal yet... Fri, 10 Feb 2012 05:13:05 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: David Nash http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9930 David Nash Wed, 12 Dec 2007 20:49:00 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9930 When one has $1000 Visa bill (like after Xmas), but can only afford, say, $750, come D-Day (due date), it strikes me as patently unfair (unconsittutional?) that interest for ALL $1000 is owing instead of the $250. When you think of the built-in inequities that result, it's small wonder that the rich get richer off the backs of the sinking poor, who in most cases are no doubt trying to the right thing. Are there any studies done in Canada/USA regarding same? Has there been any court challenges? DN When one has $1000 Visa bill (like after Xmas), but can only afford, say, $750, come D-Day (due date), it strikes me as patently unfair (unconsittutional?) that interest for ALL $1000 is owing instead of the $250.

When you think of the built-in inequities that result, it’s small wonder that the rich get richer off the backs of the sinking poor, who in most cases are no doubt trying to the right thing.

Are there any studies done in Canada/USA regarding same? Has there been any court challenges?

DN

]]> By: Credit Help http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9429 Credit Help Wed, 05 Dec 2007 23:48:31 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9429 They need to re-evaluate this universal default rule. It's clearly borderline predatory. And why is it that credit card issuers raise the APR of borrowers who have trouble making payments? If they don't have the money at the lower APR, they sure won't have it when their payments get bumped higher. Then credit card issuers will need to charge-off the debt. Same story with subprime. Borrower wasn't able to make the lower payment, so give them a higher payment loan. They need to re-evaluate this universal default rule. It’s clearly borderline predatory.

And why is it that credit card issuers raise the APR of borrowers who have trouble making payments?

If they don’t have the money at the lower APR, they sure won’t have it when their payments get bumped higher. Then credit card issuers will need to charge-off the debt.

Same story with subprime. Borrower wasn’t able to make the lower payment, so give them a higher payment loan.

]]> By: jeff http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9355 jeff Tue, 04 Dec 2007 23:56:30 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9355 Martin, Sorry for pushing your buttons. Jeff Martin,

Sorry for pushing your buttons.

Jeff

]]> By: Martin http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9348 Martin Tue, 04 Dec 2007 23:17:46 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9348 Jeff, Feel free to repost it if you want. Jeff,

Feel free to repost it if you want.

]]> By: jeff http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9341 jeff Tue, 04 Dec 2007 22:39:27 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9341 Oops, my comment must have disappeared into cyberspace. Jeff Oops, my comment must have disappeared into cyberspace.

Jeff

]]> By: Martin http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9327 Martin Tue, 04 Dec 2007 21:56:51 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9327 Dom, Unfortunately, usurious lending isn't a uniquely American concept. Canada, Australia, and the U.K. are all suffering record levels of credit card debt and negative savings levels. The financial industry is global, and their reach is long. Russ, I feel you. I never had serious credit card debt, but I've had other kinds of debt that were nearly as bad. It's a nightmare, and all you can do is find ways to get it paid off as soon as possible. Dom,

Unfortunately, usurious lending isn’t a uniquely American concept. Canada, Australia, and the U.K. are all suffering record levels of credit card debt and negative savings levels.

The financial industry is global, and their reach is long.

Russ,

I feel you. I never had serious credit card debt, but I’ve had other kinds of debt that were nearly as bad. It’s a nightmare, and all you can do is find ways to get it paid off as soon as possible.

]]> By: Russ Wellen http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9298 Russ Wellen Tue, 04 Dec 2007 18:55:30 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9298 <blockquote>"When I wrote recently that Democrats should run on the economy instead of Iraq, this is exactly what I was talking about. This is as clear-cut and obvious an issue you can get that cuts right to the heart of both the American economic crisis and the strength of the Democratic party. Put more simply, the credit card industry is almost universally loathed, and you’d be hard-pressed to find a better target for Democrats to rally around than this particular form of economic terrorism."</blockquote> I couldn't agree more. Too many of us are living lives as indentured servants. I haven't used a credit card in at least nine years, but am still paying off Sisyphean debt (which didn't seem all that great at the time). That's money we could have saved (ideally) for retirement or bought a house. Can't dwell on it too much.

“When I wrote recently that Democrats should run on the economy instead of Iraq, this is exactly what I was talking about. This is as clear-cut and obvious an issue you can get that cuts right to the heart of both the American economic crisis and the strength of the Democratic party. Put more simply, the credit card industry is almost universally loathed, and you’d be hard-pressed to find a better target for Democrats to rally around than this particular form of economic terrorism.”

I couldn’t agree more.

Too many of us are living lives as indentured servants. I haven’t used a credit card in at least nine years, but am still paying off Sisyphean debt (which didn’t seem all that great at the time). That’s money we could have saved (ideally) for retirement or bought a house. Can’t dwell on it too much.

]]> By: DomPierre http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/comment-page-1/#comment-9281 DomPierre Tue, 04 Dec 2007 17:39:05 +0000 http://www.scholarsandrogues.com/2007/12/04/congress-candidates-call-credit-card-companies-on-the-carpet/#comment-9281 Martin, is the US the only place where credit card companies are allowed to have predatory (aka loan sharking) practices? How is the US compared to other countries? Martin,
is the US the only place where credit card companies are allowed to have predatory (aka loan sharking) practices?

How is the US compared to other countries?

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