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House OKs Credit Card Bill; Obama Up Next

By the Associated Press

Posted May 20, 2009 1:49 PM CDT

(AP) – Congress has sent President Obama a bill with sweeping new rules for the credit-card industry that will affect just about every American. The House approved the measure this afternoon, 361-64. The Senate OK'd it yesterday, 90-5. The new restrictions will protect debt-ridden consumers from many of the surprise charges common in the industry, like over-the-limit fees and a charge to pay by phone.

People under 21 also will find it difficult to get a card. As banks scramble to make up for the lost revenue, cardholders who pay off their balance in full each month could see annual fees become the norm and lucrative rewards programs canceled.

The House overwhelmingly approved the credit card reform bill this afternoon. It now moves on to President Obama, who is expected to sign it.
The House overwhelmingly approved the credit card reform bill this afternoon. It now moves on to President Obama, who is expected to sign it.   (©inkynobaka)
Chart shows average annual credit card interest rates
Chart shows average annual credit card interest rates
The House approved new credit card rules today, 361-64.
The House approved new credit card rules today, 361-64.   (©The Consumerist)
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COMMENTS
Showing 3 of 6 comments
MrBisme
May 21, 2009 12:34 PM CDT
Awesome, more legislation to punish those of us who are responsible with our money. Watch this end up with instant interest and annual fees. So let me get this straight... My credit card rewards go down the crapper, the interest rate on savings is almost zero thanks to the fed, the value of the dollar is dropping like a rock off a cliff thanks to all this spending and it takes 50% longer to get to work due to every road being under construction at once. This all is working out really well... I hope I have to sell my car to the government for "fair market value" so they can crush it and I can buy a brand new piece of crap from GM or Chrysler (because that's all the disgruntled workers will be making after half their buddies get laid off). This is much better than letting the economy recover on its own terms.
freethemall
May 21, 2009 4:26 AM CDT
Are these changes retroactive? I had a credit card with a 6.99 interest rate, that I paid more than the minimum on faithfully every month, never late. It went to 17.99. I'm tempted to call them and tell them if they don't restore my original rate, I'll default.
Snowleopard
May 20, 2009 9:31 AM CDT
This bill is an example of intelligent government regulation. Good to see the parties working together for once to get something positive done.

Copyright 2012 Newser, LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed. AP contributed to this report.

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