The Latest News on Credit and Credit Cards

Have you been watching the news? Have you been keeping an eye on the financial section in the newspaper? If so, you are probably well aware that the credit card companies are currently under the watchful eye of President Barack Obama. Consumers are tired of being pushed around by their credit card companies and the president and his team is fixing to do something about this. Over the next few months you should expect to hear more and more about the changes that are going to be made. And remember, the president is not the only who will be speaking. It is safe to say that every credit card company will also be speaking out.

On April 23 President Obama met with top ranking officials from 14 credit card companies to let them know that their days of preying on consumers are over. At this time, he is working fast with other members of his party to push legislation that will prevent credit card companies from increasing interest rates for no reason.

Of course, there are some who feel that this is not the best thing to do at this time. With the weak economy some experts feel that cracking down on credit card companies is only going to make things worse. The pros and cons are sure to be discussed many times over as the next few months unfold.

National Economic Council Director Lawrence Summers has been doing a lot of talking on the president’s behalf. Recently, he said Obama was “going to be very focused, in a very near term, on a whole set of issues having to do with credit card abuses, having to do with the way people have been deceived into paying extraordinarily high interest rates that they wouldn’t have paid if they knew what that they were getting themselves into.”

The Financial Services Committee has already approved the legislation, 48 to 19, which Obama spoke about on April 23 with credit card officials.

It shouldn’t be a surprise to anyone, including the credit card companies, that this is happening. For many years they have been taking advantage of consumers by disguising the amount of interest they were paying or suddenly increasing interest rates without proper notification. It appears that Obama and his team is taking the side of the American people in this battle. Keep an eye on the news for further updates.