Washington Takes Aim at Credit Cards
Lawmakers vow to tackle rate hikes, reform arcane fee system
By Kevin Spak,  Newser Staff
Posted Dec 1, 2007 7:44 PM CST
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(Newser) – Dem lawmakers vow to finally rein in credit card companies after years of consumer complaints, the Washington Post reports. They want lenders to scrap random rate hikes and inscrutable fees, and plan to tackle it in a hearing next week; one rep has already drawn up legislation. But industry lobbyists are crying foul. “They’re getting oversight, and they don’t like it,” said one advocate.

Proposed bills would cap rate spikes, and ban them completely if consumers pay their bills on time. Meanwhile, the Federal Reserve is pushing to reform arcane card statements, and New York’s attorney general is probing card marketing on college campuses. “This is a huge issue,” said one lawmaker. “Credit cards have become a way of life.”