Released: October 29, 2009

Congress wants to stop credit card hikes

Source: Jennifer Liberto, CNNMoney

As credit card companies continue raising rates and fees, lawmakers are considering bills to stop such hikes until new credit card laws take effect.

In the House, a key committee passed a bill to move up by nearly three months the start date of new laws aimed at cracking down on the way credit card issuers raise fees and assess credit risk. The new start date would be Dec. 1, up from Feb. 22.

“It was argued ... that they needed more time, and we granted them more time, but it was under the understanding that abusive practices would not continue, and double and increase dramatically,” said Rep. Carolyn Maloney, D-N.Y., a bill sponsor, debating amendments to it.

On Tuesday, the Pew Charitable Trusts released a study showing that interest rates rose by an average of 23% from December 2008 to July 2009.

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