February 10,2009
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News: Fight the Credit Card Changes.
Help for the credit card consumer is on the way but, slow getting here. New government credit card regulations were released in December that will relieve much of the squeeze on consumers, which are scheduled to fully implemented by July of 2010. But, until then what do we do? Unfortunately, the ‘unfair' practices of the credit card industry are still legal at this time.
By mid-next year, credit card lenders will no longer be allowed to raise credit card rates without a justified reason. They will also be required to fully disclose changes to us in a timely manner in terms that we can easily understand. Even now, some of the major lenders are working to that end. But, in the mean time, they are also looking for ways to shore up their own stability in a highly risky economic situation. Therein, lies the rub. We must all protect ourselves – the credit card industry and the consumer. Together, we must find that harmonic balance.
Already, some responsible credit card lenders are policing themselves but still, others are not. They must not leave final decisions solely up to ‘bean counters' who only know how to crunch numbers. The equation they use must be comprehensive and place consumers fully on one side as equal in importance. It's true, some interest rates must be raised but, the amount must be capped so as not to crush the consumer. The selection of which consumers to target must be fully disclosed so the public can examine and appreciate the fairness of decisions.
For the most part, this is not happening today. Even if it does take place in 2010, the credit card consumer must be protected until then. The lender must be protected also else, we will find our economy with an extreme shortage of available credit. No one wants that. There are some ways for us consumers to protect ourselves until that harmonic balance is found and implemented. They can be found in the related article series entitled: "Fighting Credit Card Changes".