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Press Release
For Immediate Release
July 01, 2009 |
Contact: Jon Houston, 202-225-7944 |
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Rep. Maloney comments on reports of credit card rate hikes |
WASHINGTON, DC –Rep. Carolyn Maloney (D-NY) today commented on recent
news reports of credit card issuers raising interest rates
significantly on existing balances.
“Rate hikes on existing balances being reported by news media and
consumers, even when consumers pay on time and follow the rules, are
unfair and deceptive and must be stopped. Capricious actions like these
are why Congress overwhelmingly passed, and President Obama signed, my
credit card reform bill: to level the playing field on behalf of
consumers.
“If my bill were fully in place now, these retroactive rate hikes wouldn’t be legal. As it is,
in another few weeks, issuers will be required to provide 45-day notice of any rate hikes, allowing about two cycles’ worth of time for consumer to change cards if they desire, and in February retroactive rate hikes on existing balances will be banned, among a host of other changes.
“All of this flurry of news is another example of why we need President Obama’s Consumer Financial Products Safety Commission-- which the House will be considering in the weeks ahead.”
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For more on the Credit Cardholders’ Bill of Rights, click here.
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