Big Business Gets Breaks, But Us ?????
Federal bank regulators killed a plan submitted by major credit card companies that would have reduced the balances of some consumers who cannot repay their accounts by as much as 40% . Now, before you think that this would include you, don't get so excited or outraged.
What the banks wanted to do was forgive some cardholders of their balances, and to account for the loss on it years later, rather than now. In essence, they were trying to avoid totally ruining their profits - and their bonuses - by deferring it to a time when the economy improves , and they can afford it. You see, they expect some of us not to pay them back, but it has almost doubled in the past year, to nearly 7%....
Maybe it was a good thing that the Fed turned down this request, but it sure doesn't seem like they did it because it wouldn't benefit consumers. It sounds like they were more concerned with the accounting procedures. When a group of thugs who charge $39 on a $300 credit card for being one day late finally do SOMETHING to help SOMEBODY SOMEWHERE, they could accept at least one of them...
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4 comments:
Don't forget jacking the rate up for being late as well. One of my former credit cards had a rule that if you were late on one payment the interest rate went up by 9%.
Credit cards appear to be America's crack - Can't live without them once you start usin', keep using 'em and they will kill you financially.
this is why i am considering moving to Amsterdam.
i still want a bailout
My goal is to chop mine up by the end of next year! No more credit cards!
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