Good news: Responsible credit-card users to "subsidize" deadbeats now

kayleesgrandma · May 19, 2009

Just a little friendly congressional intervention in the marketplace to shift risk from people who can't afford the product to people who can. Hey - it worked out with mortgages, didn't it?

Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.

Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.

"It will be a different business," said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation's biggest banks. "Those that manage their credit well will in some degree subsidize those that have credit problems."...
<a target=_blank class=ftalternatingbarlinklarge href="http://www.nytimes.com/2009/05/19/business/19credit.html?_r=1&ref=business
">http://www.nytimes.com/2009/05...tml?_r=1&ref=business
</a>
The industry says that the proposals will force banks to issue fewer credit cards at greater cost to the current cardholders.
You're already helping to pay off deadbeats' homes. Why not help free them up to rack up some more credit-card debt too?

I'll tell you it's been at least 10 years since I let any part of a monthly bill carry over to the next month. Good to know I'll be paying interest now regardless. Exit question: Er, isn't this an exceedingly bad idea during a recession? People with good credit will be less likely to make major purchases for fear of the monthly interest and people with bad credit will be more likely to start charging, and then inevitably defaulting. Good work, Congress.
<a target=_blank class=ftalternatingbarlinklarge href="http://hotair.com/archives/2009/05/19/good-news-responsible-credit-card-users-to-subsidize-deadbeats-now/">http://hotair.com/archives/200...bsidize-deadbeats-now/</a>

kayleesgrandma · May 19, 2009

Just a little friendly congressional intervention in the marketplace to shift risk from people who can't afford the product to people who can. Hey - it worked out with mortgages, didn't it?

Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.

Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.

"It will be a different business," said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation's biggest banks. "Those that manage their credit well will in some degree subsidize those that have credit problems."...
<a target=_blank class=ftalternatingbarlinklarge href="http://www.nytimes.com/2009/05/19/business/19credit.html?_r=1&ref=business
">http://www.nytimes.com/2009/05...tml?_r=1&ref=business
</a>
The industry says that the proposals will force banks to issue fewer credit cards at greater cost to the current cardholders.
You're already helping to pay off deadbeats' homes. Why not help free them up to rack up some more credit-card debt too?

I'll tell you it's been at least 10 years since I let any part of a monthly bill carry over to the next month. Good to know I'll be paying interest now regardless. Exit question: Er, isn't this an exceedingly bad idea during a recession? People with good credit will be less likely to make major purchases for fear of the monthly interest and people with bad credit will be more likely to start charging, and then inevitably defaulting. Good work, Congress.
<a target=_blank class=ftalternatingbarlinklarge href="http://hotair.com/archives/2009/05/19/good-news-responsible-credit-card-users-to-subsidize-deadbeats-now/">http://hotair.com/archives/200...bsidize-deadbeats-now/</a>

kayleesgrandma · May 19, 2009

Just a little friendly congressional intervention in the marketplace to shift risk from people who can't afford the product to people who can. Hey - it worked out with mortgages, didn't it?

Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.

Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.

"It will be a different business," said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation's biggest banks. "Those that manage their credit well will in some degree subsidize those that have credit problems."...
<a target=_blank class=ftalternatingbarlinklarge href="http://www.nytimes.com/2009/05/19/business/19credit.html?_r=1&ref=business
">http://www.nytimes.com/2009/05...tml?_r=1&ref=business
</a>
The industry says that the proposals will force banks to issue fewer credit cards at greater cost to the current cardholders.
You're already helping to pay off deadbeats' homes. Why not help free them up to rack up some more credit-card debt too?

I'll tell you it's been at least 10 years since I let any part of a monthly bill carry over to the next month. Good to know I'll be paying interest now regardless. Exit question: Er, isn't this an exceedingly bad idea during a recession? People with good credit will be less likely to make major purchases for fear of the monthly interest and people with bad credit will be more likely to start charging, and then inevitably defaulting. Good work, Congress.
<a target=_blank class=ftalternatingbarlinklarge href="http://hotair.com/archives/2009/05/19/good-news-responsible-credit-card-users-to-subsidize-deadbeats-now/">http://hotair.com/archives/200...bsidize-deadbeats-now/</a>

kayleesgrandma · May 19, 2009

Just a little friendly congressional intervention in the marketplace to shift risk from people who can't afford the product to people who can. Hey - it worked out with mortgages, didn't it?

Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.

Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.

"It will be a different business," said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation's biggest banks. "Those that manage their credit well will in some degree subsidize those that have credit problems."...
<a target=_blank class=ftalternatingbarlinklarge href="http://www.nytimes.com/2009/05/19/business/19credit.html?_r=1&ref=business
">http://www.nytimes.com/2009/05...tml?_r=1&ref=business
</a>
The industry says that the proposals will force banks to issue fewer credit cards at greater cost to the current cardholders.
You're already helping to pay off deadbeats' homes. Why not help free them up to rack up some more credit-card debt too?

I'll tell you it's been at least 10 years since I let any part of a monthly bill carry over to the next month. Good to know I'll be paying interest now regardless. Exit question: Er, isn't this an exceedingly bad idea during a recession? People with good credit will be less likely to make major purchases for fear of the monthly interest and people with bad credit will be more likely to start charging, and then inevitably defaulting. Good work, Congress.
<a target=_blank class=ftalternatingbarlinklarge href="http://hotair.com/archives/2009/05/19/good-news-responsible-credit-card-users-to-subsidize-deadbeats-now/">http://hotair.com/archives/200...bsidize-deadbeats-now/</a>

kayleesgrandma · May 19, 2009

Just a little friendly congressional intervention in the marketplace to shift risk from people who can't afford the product to people who can. Hey - it worked out with mortgages, didn't it?
 
 Now Congress is moving to limit the penalties on riskier borrowers, who have become a prime source of billions of dollars in fee revenue for the industry. And to make up for lost income, the card companies are going after those people with sterling credit.
 
 Banks are expected to look at reviving annual fees, curtailing cash-back and other rewards programs and charging interest immediately on a purchase instead of allowing a grace period of weeks, according to bank officials and trade groups.
 
 "It will be a different business," said Edward L. Yingling, the chief executive of the American Bankers Association, which has been lobbying Congress for more lenient legislation on behalf of the nation's biggest banks. "Those that manage their credit well will in some degree subsidize those that have credit problems."...
 <a target=_blank class=ftalternatingbarlinklarge href="http://www.nytimes.com/2009/05/19/business/19credit.html?_r=1&ref=business
">http://www.nytimes.com/2009/05...tml?_r=1&ref=business
</a> 
 The industry says that the proposals will force banks to issue fewer credit cards at greater cost to the current cardholders.
 You're already helping to pay off deadbeats' homes. Why not help free them up to rack up some more credit-card debt too?
 
 I'll tell you it's been at least 10 years since I let any part of a monthly bill carry over to the next month. Good to know I'll be paying interest now regardless. Exit question: Er, isn't this an exceedingly bad idea during a recession? People with good credit will be less likely to make major purchases for fear of the monthly interest and people with bad credit will be more likely to start charging, and then inevitably defaulting. Good work, Congress.
 <a target=_blank class=ftalternatingbarlinklarge href="http://hotair.com/archives/2009/05/19/good-news-responsible-credit-card-users-to-subsidize-deadbeats-now/">http://hotair.com/archives/200...bsidize-deadbeats-now/</a>

Brad · May 27, 2009

Good news: Responsible credit-card users to

Don't know if the Good will Pay for the Bad or not.

But Some control has to be put into place on the CC company's

I have cards that when Used I pay off at the end of the month.
But I don't used them often. One of the Cards I Cut Up last week
tried to charge me for Not having a Balance. I always paid on time in Full.

The So called Dead Beats may be part of the problem.
But These Credit Card company's giving Cards to People
Who Should Never have One MUST bare The Responsibility.

They Give Credit to College Students who most of the time
have no job. That is Baiting...
My Son got a Pre approved visa while he was in the 11th grade.
Of Course I took care of that my self.

I remember getting my first CC, I was 20 and I had to Jump through Hoops.
They also started me out with a small limit until I could prove to be a good
paying customer.
Now a days they Just hand them Out Like Candy with 5K limits.

The Truth is CC company's make MORE money on People who Pay Late
than they do on People Who pay on time or pay in full every month like I do.

So It is the Card Company's Who Need to Change the way they do Business.
They Need to Be Honest.

Brad · May 27, 2009

Good news: Responsible credit-card users to

Don't know if the Good will Pay for the Bad or not.

But Some control has to be put into place on the CC company's

I have cards that when Used I pay off at the end of the month.
But I don't used them often. One of the Cards I Cut Up last week
tried to charge me for Not having a Balance. I always paid on time in Full.

The So called Dead Beats may be part of the problem.
But These Credit Card company's giving Cards to People
Who Should Never have One MUST bare The Responsibility.

They Give Credit to College Students who most of the time
have no job. That is Baiting...
My Son got a Pre approved visa while he was in the 11th grade.
Of Course I took care of that my self.

I remember getting my first CC, I was 20 and I had to Jump through Hoops.
They also started me out with a small limit until I could prove to be a good
paying customer.
Now a days they Just hand them Out Like Candy with 5K limits.

The Truth is CC company's make MORE money on People who Pay Late
than they do on People Who pay on time or pay in full every month like I do.

So It is the Card Company's Who Need to Change the way they do Business.
They Need to Be Honest.

Brad · May 27, 2009

Good news: Responsible credit-card users to

Don't know if the Good will Pay for the Bad or not.

But Some control has to be put into place on the CC company's

I have cards that when Used I pay off at the end of the month.
But I don't used them often. One of the Cards I Cut Up last week
tried to charge me for Not having a Balance. I always paid on time in Full.

The So called Dead Beats may be part of the problem.
But These Credit Card company's giving Cards to People
Who Should Never have One MUST bare The Responsibility.

They Give Credit to College Students who most of the time
have no job. That is Baiting...
My Son got a Pre approved visa while he was in the 11th grade.
Of Course I took care of that my self.

I remember getting my first CC, I was 20 and I had to Jump through Hoops.
They also started me out with a small limit until I could prove to be a good
paying customer.
Now a days they Just hand them Out Like Candy with 5K limits.

The Truth is CC company's make MORE money on People who Pay Late
than they do on People Who pay on time or pay in full every month like I do.

So It is the Card Company's Who Need to Change the way they do Business.
They Need to Be Honest.

Brad · May 27, 2009

Good news: Responsible credit-card users to

Don't know if the Good will Pay for the Bad or not.

But Some control has to be put into place on the CC company's

I have cards that when Used I pay off at the end of the month.
But I don't used them often. One of the Cards I Cut Up last week
tried to charge me for Not having a Balance. I always paid on time in Full.

The So called Dead Beats may be part of the problem.
But These Credit Card company's giving Cards to People
Who Should Never have One MUST bare The Responsibility.

They Give Credit to College Students who most of the time
have no job. That is Baiting...
My Son got a Pre approved visa while he was in the 11th grade.
Of Course I took care of that my self.

I remember getting my first CC, I was 20 and I had to Jump through Hoops.
They also started me out with a small limit until I could prove to be a good
paying customer.
Now a days they Just hand them Out Like Candy with 5K limits.

The Truth is CC company's make MORE money on People who Pay Late
than they do on People Who pay on time or pay in full every month like I do.

So It is the Card Company's Who Need to Change the way they do Business.
They Need to Be Honest.

Brad · May 27, 2009

Good news: Responsible credit-card users to

Don't know if the Good will Pay for the Bad or not.
 
 But Some control has to be put into place on the CC company's
 
 I have cards that when Used I pay off at the end of the month.
 But I don't used them often. One of the Cards I Cut Up last week
 tried to charge me for Not having a Balance. I always paid on time in Full.
 
 The So called Dead Beats may be part of the problem.
 But These Credit Card company's giving Cards to People
 Who Should Never have One MUST bare The Responsibility.
 
 They Give Credit to College Students who most of the time
 have no job. That is Baiting...
 My Son got a Pre approved visa while he was in the 11th grade.
 Of Course I took care of that my self.
 
 I remember getting my first CC, I was 20 and I had to Jump through Hoops.
 They also started me out with a small limit until I could prove to be a good
 paying customer.
 Now a days they Just hand them Out Like Candy with 5K limits.
 
 The Truth is CC company's make MORE money on People who Pay Late
 than they do on People Who pay on time or pay in full every month like I do.
 
 So It is the Card Company's Who Need to Change the way they do Business.
 They Need to Be Honest.

TemptressOfTheSea · May 27, 2009