Obama on the evils of credit cards

We used to say the company that gets a union deserves a union. On Friday the President outlined the reasons behind the new credit card legislation and I can’t say that I disagree with many of the things he says here … whacking people who pay on time with higher rates to boost profits may be legal but clearly … knowing the Democrats were in charge … likely not smart … leading to tougher rules. It is pretty outrageous on the part of the banks.

But there’s an easy solution and that’s putting away the cards and telling the banks to take a hike. That though, is not going to happen … so the Feds ride to the rescue and the banks get what they deserve and what they should have expected. More regulation.

The banks says they will retaliate by eliminating rewards and charging fees to their most credit worthy customers and offer feweer cards to less credit worthy.

I say fine. My guess is the market will step in an offer some competition and the banks will continue to push cards on … welll everyone and the dog. What do you think? Take the poll.

And as an aside … notice how Obama introduces Senators Dodd and Shelby … using the phrase “partner in crime”. Ha!

httpvd://www.youtube.com/watch?v=9R4FSryS92Y

4 replies
  1. Darlene
    Darlene says:

    I gave up credit cards in 2004, thankfully.  Unfortunately, right now, it seems that both rich and poor are over extended.  Again, it will be the middle income, responsible earners who will be hurt.  As with taxes and everything else.  God help me if i ever need credit for a true emergency.  I worry!

  2. Dottie
    Dottie says:

    My bank hiked my rate up 7% more than it was previously.  They gave me the option to 'freeze' my account at the old rate or accept the new rate if there was ANY new activity on the account  and it (new rate) would be applied to the total balance, not just the new stuff.  I used the card for over $5000.00 in dental work for my uninsured daughter, before the cut-off date.  Now it is frozen at the low rate and I will not use it again.  That means payoff then cut-up.

  3. Erik Blazynski
    Erik Blazynski says:

    OMG that is hilarious…  States that Dodd has long fought against special interests. By fought he means beat that crap out of them till they caved.  Then he calls them partners in "CRIME"   LOL LOL LOL..

  4. Wayne SW
    Wayne SW says:

    Let's first understand the view of the messanger, the Oflippinidiot.  Banks are evil for charging interest on debt and the slow payers or non-payers are being victimized with higher rates and fees becuase the users violated the original contract terms and fell into the penalty portion of the contract.  

    The Oflippinidiot derided the former President Bush for running a Federal Deficit of $450 Billion and when it became his turn, the deficeit balloons to "Trillions" of dollars and raising the debt ceiling and passing the new higher interst expenses onto the backs of the citizens is somehow OK?

    So, the Govt. can do it to the citizens and it is good.   When the banks do it, it is bad.  Now the Oflippinidiot says we are out off money.  The Govt. has maxed out its credit cards.  Is this good?

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