Credit card interest rates can be reduced - Other News

ADVERTISING DISCLOSURE

ADVERTISING DISCLOSURE:
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from most credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » News » Other » Credit card interest rates can be reduced

Credit card interest rates can be reduced

Credit card interest rates can be reduced
The content is accurate at the time of publication and is subject to change.
This content is not provided by Citi. Any opinions, analyses, reviews or recommendations expressed here are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by the Citi.

Financial consultant Doug Nicholas, says that credit card interest rates can be reduced. He said this to answer complaints of credit cardholders about their “powerlessness” in the interest rate hikes that have been prevalent due to the Credit CARD Act.


Nicholas states the government is already doing its best to protect the interest of the credit cardholders. The government reviews the rates and takes action to make sure that should there be increases in interest rates, they are fair enough to the consumers. The government is also working with regulators to set limits on credit card interest rates should there be final decisions to increase.


The government sees retention of existing interest rates without any increase in them as reasonable, should the banks fail to substantially justify increases, Nicholas relates. This is in cases where the fees themselves are justified to begin with. Most importantly however, should the government along with other regulators, find that fees were unreasonably increased or added to the already existing ones, without any proof of necessity by the credit card companies, Nicholas states the government can even reduce the fees or abolish them altogether.


The government is now reviewing coverage of bank charges and personal insolvencies for possibilities of reduction. Nicholas states further, that the treasury and business departments can help individuals in financial troubles with their borrowing capacities given the tight lending standards of 85 percent of banks.


According to Nicholas, the government reviews includes:



  • Proposing solutions to unfair bank charges

  • Allowing individuals to return their store cards without being fined for doing so after the prescribed period has lapsed

  • Capping interest rates of store and credit cards in cooperation with the regulators

  • Making credit card issuers generate electronic information on better deals to encourage the consumer to opt for the company`s other less expensive offers.

Consumer Minister Ed Davey said that hopefully, the government initializes the practice of clear-cut solutions to debt problems encountered by millions of Americans across the country. He adds that there may be a multitude of solutions offered to credit cardholders every time financial troubles are encountered, yet not one of these solutions seem to concretely provide the benefit.


Davey says that hopefully, the solution, which is reduction, is within the capacity of the government to secure for its citizens, given their vulnerability and financial instability.

Disclaimer: This editorial content is not provided or commissioned by the credit card issuer(s). Opinions expressed here are the author's alone, not those of the credit card issuer(s), and have not been reviewed, approved or otherwise endorsed by the credit card issuer(s). Reasonable efforts are made to present accurate information, however all information is presented without warranty. Consult a card's issuing bank for the terms & conditions.
All rates and fees, and other terms and conditions of the products mentioned in this article/post are actual as of the last update date but are subject to change. See the current products' Terms & Conditions on the issuing banks' websites.
Add to Favorites:

Related News:

Get 100,000 Bonus Points with the Radisson Rewards Premier Visa Signature

Posted: December 14, 2018

If you have been thinking about getting the Radisson Rewards Premier Visa Signature credit card, now might be the time to take another look because it now comes with 100,000 bonus points. This is a limited time offer, which is in play from ... Continue reading
Minor League Baseball and Allegiant Airlines Partner Up

Posted: December 13, 2018

Allegiant Airline and Minor League Baseball have inked a deal paving the way for a credit card partnership, one giving fans a credit card that reflects their fandom in terms of rewards whether they are traveling or catching a game. When ... Continue reading
Capital One Partners Up With Airlines

Posted: December 12, 2018

Capital One has partnered up with 14 airlines so that Venture and Spark cardholders can now use miles to pay for their flights. What is the transfer ratio? All of the carriers that have partnered up with Capital One, except for Emirates ... Continue reading
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.
Earn 5% cash back at different places each quarter like gas stations, grocery stores, restaurants, Amazon.com and more up to the quarterly maximum, each time you activate.
For Excellent, Good Credit
INTRO OFFER: Discover will match ALL the Miles you've earned at the end of your first year, automatically. For example, if you earn 30,000 Miles, you get 60,000 Miles. That's $600 towards travel!
For Excellent, Good Credit
Earn 2% cash back on purchases: 1% when you buy plus 1% as you pay
For Excellent, Good Credit
You've successfully subscribed!

Please specify the following:All these fields are optional

Your Credit History
Themes you are interested in:

By providing this information you help us make our news letters more useful and informative. Thank you!