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Credit Card Applications » News » Other » Measure to lower credit card rates rejected by the Senate

Measure to lower credit card rates rejected by the Senate

June 11, 2010
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A proposal that was laid out to lower the rate of interest on the credit cards issued by banks and other financial institutions was vetoed by the Senate.

Sheldon Whitehouse, a Democratic Senator, proposed this amendment to be a part of the financial reform bill being debated in the Senate. Had this amendment been given the nod by the Senate, the credit card issuers would not have had the liberty of implementing the rate of interest permitted by the laws of the state in which they are headquartered.

Earlier this week, the Republicans intensified their attack on the legislation and argued that the bill only worsened the situation and the root cause of the financial meltdown that took place in 2008 was not being addressed by the proposed bill.

As per the Democratic party, said Mitch McConnell, the leader of the Democratic Senate was making use of this chance to expand the site and increase the cost for the government. After a lot of arguments and counter arguments by the Republicans and the Democrats, it came up for the final vote on Wednesday. Though this amendment was reaching its logical conclusion soon, there were many other proposals that are still hanging midway in the Congress.

The proposal that was proposed by Senator Sheldon Whitehouse was being fought against by the banks right from the onset since it would have doubled the work load and made it tough to calculate the interest rates for the consumers.

While this amendment was being debated, there was another proposal too by two another Democrat Senators, Michigan's Carl Levin and Oregon's Jeff Merkley, to prevent commercial banks from indulging in speculative investment trading from their accounts. Financial institutions and banks opposed this bill as well since it would make the existing regulations even tougher.

The Democrats needed 60 votes in their favor for the proposal by Senator Sheldon Whitehouse to be passed. However, that was not to be the case on Wednesday. The Congress was divided 57-42 with the higher number against the bill. It was the crucial votes by three Democrats who voted against the bill that turned tables in favor of the Republicans who did not want the amendment to be passed. One among the three Democrats who changed their decision at the final moment was Harry Lied who leads the Senate majority. He said he made this change for procedural reasons.

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  • Larry
    With the Virgin / Barclaycard signature offer, there seems to be some consumer deception or maybe even outright fraud goin on.   I decided to jump on this offer..  read all the info on it..  was approved for their platinum card, paid the fee, then was only awarded 10,000 points instead of the advertised 20,000.   When i inquired about the less than advertised bonus points, Barclaycard claims only Signiture Visa cardmembers get the 20,000..  as a platinum cardholder, you don't qualify for that level of bonus, so you get 10k instead.   Well, in their current ongoing promotions, it states plain as day that....    Applicants approved for the Visa Signature or Platinum Card with $49 annual fee will receive 20,000 Bonus Points awarded to your Virgin America Rewards Account at the close of the first billing statement in which you make your first purchase or balance transfer (that is not returned or rescinded) and have paid the Annual Fee on the account (and such fee is not rescinded). They don't mention anything about a separate program for platinum cardholders..  However, trying to get someone to resolve this issue with either Virgin or Barclaycard seems to be rather impossible.. Seems to me they're simply drawing people in with the fraudulent offer, then simply saying, oh, we're sorry you don't qualify..  but thanks for signing up for our garbage credit card with insane fees..   
  • CreditLandCom
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  • Deborah Ellsworth
     would very much like to start a new credit history  by making payments on time I would tohave a credit card that is NOT PREPAYID! I don't need a card with a high limit just something to start a new credit history. Thank You Deborah Ellsworth
  • Deborah Ellsworth
    I would very much like to start a new credit line to get back on track. I DO NOT WANT A PREPAID CARD!! This new credit card if I am approved does not have to hace a high limit just something for me to start over again and prove myself ThankYou. D Ellsworth
  • Miss Edna
    there is a huge problem with the RFIP chip: it is easily compromised. There are already 'readers' in the form of what looks like a cellphone in a case, that scans all the info in the chip by merely walking near a person -- this 'reader' penetrates leather, cloth, spandex, etc. The only thing it will NOT penetrate is METAL. Perhaps one has seen commercials touting metal credit card cases. Here is my hint for a free fix: cut a piece of aluminum foil or use the foil that is used to keep foods fresh, like coffee. Cut it so that when folded once, it forms a sleeve for your credit card. place the credit card in the sleeve, then place the sleeve in your wallet.
  • Robin Parks
    I am looking to apply for the AARP Visa signature card from Chase that offers $100 after spend $500 in first 3 months, no annual fee and 0% interest first year; I don't want to mail in offer because of having to write in Social security #. Can you direct me to the proper on-line site?
  • CreditLandCom
    The Chase bank cards are not currently available at Credit-Land.com, but you can consider applying for the Citi® Dividend Platinum Select® Visa® Card - $100 Cash Back. The cards has similar terms and cash back program.
  • Becky
    This is Becky Now what do I do just waqit for acard to come to me?
  • CreditLandCom
    Once you have applied, you should receive a letter within 10 business days letting you know if you were approved and when your card will arrive. If you did not receive any letter or notification from the issuer, you should contact them directly. Also, you should contact the issuer if you’ve been waiting for your credit card longer than 30 days. Since we are not a bank and don’t issue credit cards, we cannot give you any information about your application or credit card.
  • SavingStar
    Thank you for posting about SavingStar. Just to clarify one sentence in your article, we have over 5 million members (not 500). Thanks, Josh
  • CreditLandCom
    Sorry for the misprint. We’ve corrected the sentence. Thank you for noticing that.
  • Eric
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