Jamesb101.com

commentary on Politics and a little bit of everything else

The New Credit Card Rules……..

Not that they are matter too much to most people out there…….

Here’s a piece on some of the rules..which The Dog is sure Credit Card companies have figured out ways to get around……

Credit card reform affects nearly all American families. Some 78 percent of households have a credit card and there are more than 631 million credit cards in circulation. Consumers charged more than $2.1 trillion on 26.5 billion transactions in 2008. With this much credit capacity — the 181 million credit cardholders have an average of 5.4 cards each — it’s no surprise that consumers do not pay off their cards each month. The typical cardholder had $10,679 in debt outstanding at the end of 2008, according to the Nilson Report.

The Credit CARD Act has many good and well-intentioned provisions. For example, it requires credit card companies to make their practices more transparent so that customers can tell exactly how much they are paying in interest and fees when they do not pay off their balance each month. It imposes broad restrictions on companies’ ability to increase the interest rate on outstanding balances and to levy penalties for going over the credit limit.

Credit card issuers must also mail consumers their statements three weeks, rather than two weeks, before the payment is due. Companies must apply payments that exceed the minimum to the outstanding balances with the highest interest rate first. Credit card issuers must allow consumers to opt out of their card if they do not agree to changes in their credit terms. It also requires card companies to post details of their standard credit agreement on the Internet so that consumers can more easily do comparison shopping.

The act creates a Web site HelpWithMyBank.gov, which is run by the Office of the Comptroller of the Currency, where consumers can go to find answers to their most common questions. The new law also prohibits a bank from assuming that because you are late with one credit card payment that you will be late on all payments and, in reaction, raise the interest rate on all of your accounts.

Finally, the credit card company must tell you how long it will take to pay off your outstanding balance. Thus, if you have $3,000 on a card, you’ll learn that it will take 11 years to pay off that balance if you make the minimum $90 monthly payment on a card with a 14.4 percent interest rate.

For the typical American, these changes have a certain feel-good aspect to them.
But, just like the hangover that comes the morning after the party, the CARD act contains some significant downsides.

More…….

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March 5, 2010 Posted by | Blogs, Breaking News, Counterpoints, Government, Law, Media, Men, Other Things, PoliticalDog Calls, Politics, The Economy, Updates | , | 1 Comment

Jon Stewart on Everything that is wrong with America…in under four minutes……

Yesterday, the new Credit Card Accountability Responsibility and Disclosure act went into effect—but not without controversy. And tonight on The Daily ShowJon Stewart brilliantly laid out both what’s wrong with American consumers and with credit card companies.

With his hilarious—and eerily accurate—rant, Stewart managed to do what many others have failed at: explaining how the country’s credit problem is exacerbated by the actions of those on both sides of the spectrum.

Stewart first explained that the problem with American consumers is that they not only desire a Champagne lifestyle on a Busch Light budget, but will take any opportunity to act on that appetite—even when painfully aware of the consequences of doing so. If you let them, they will spend, whether they have the money or not.

After his evisceration (sorry, had to) of consumers, Stewart took aim at the banks, hilariously describing the tricks they’ve used to historically bilk their customers out of as much extra money as possible, before even more hilariously highlighting some new tactics that were born from a theoretical leash imposed by the government with the newly-enforceable regulations on their business practices.

I’d say more, but the screen on my laptop is fading and I need to make sure I’m the first one to arrive at the Apple Store tomorrow to purchase a new one—just as long as my rate limit gets approved. Fingers crossed!

[The Daily Show]

The above from tv.Gawker.com……

The guy gets my vote everytime…..

March 2, 2010 Posted by | Blogs, Breaking News, Counterpoints, Entertainment, Government, Law, Media, Men, Other Things, Political Satire, Politics, The Economy, Updates | , , , , | 1 Comment