What is Congress and the Obama administration doing about it?
Earlier this week, the House Financial Services Committee voted 48-19 on what proponents say is a more consumer-friendly bill. Among other provisions, it would cap the amount a bank can hike interest rates on customers’ existing balances (except in a limited number of circumstances), provide for more disclosure and outlaw fees deemed unfair. A similar proposal, which was approved in 2008 by the Federal Reserve, is scheduled to take effect July 1, 2010. Consumer advocates are pushing for Congressional action because they want tougher action. Here’s more background on those forthcoming regulations.
