Brace for Reinstatement of Annual Fees * The Coburn Amendment
Faced with legislation that would severely restrict them from abusive practices, the same wonderful people who had been ripping off consumers for years with sky high interest rates, penalties and late fees, are huddling to come up with plans to make up for lost revenue.
Reports indicate that credit card users who do not carry a balance but pay off their monthly bills on time might be hit with annual fees!
Are consumers going to roll over and accept the fees? Some would. At one time such fees were common. But in today's America the climate is different. Americans are aware that one of the primary factors for the current economic crisis was lack of oversight by our government that permitted the financial industry to run amok. There is very little good feeling about the large banks that issue credit cards.
Fight back. One way -- the preferred solution -- for those who can afford it and do not carry balance on their credit cards would be to use debit cards. And look for credit cards issued by small, regional banks. Of course, when the small banks are gobbled up by large ones then you will have to start all over again. Still, don't passively accept the fees that might soon be foisted on you by the major issuers of credit cards.
Nancy Trejos in The Washington Post
- Treasury Secretary Timothy F. Geithner said the bill "will help create a more fair, transparent and simple consumer credit market."
Have Gun, Will Visit National Parks
- Card executives said the changes will force them to charge higher rates and annual fees to delinquent customers and those in good standing.
Trust a Republican, Senator Tom Coburn of Oklahoma, to attach an amendment to the credit card legislation to permit carrying loaded guns at national parks. The NRA is happy. It would be interesting to see whether the amendment would be in the final version that President Obama signs.*****