Did you ever notice that the interest rates credit card companies charge often border on what a loan shark charge? It's no wonder people turn to bankruptcy. There is no way most of us could pay off twenty or thirty thousand dollars of credit card debt at an interest rate approaching thirty percent.
There are laws in place that restrict the amount of money a credit card company can charge in fees, but not on interest rates. Should there be?
There are also laws in place that restrict how much, how often and why a credit card company can raise your interest rate. Further, if your interest rate has been raised but your use of credit and timely payments justifies a lower rate, the credit card company is required to lower it.
While I am sure that any attempt at a consumer protection law capping interest rates to reasonable levels would quickly be squashed by credit card lobbyists, I would like at least to see the effort made.
At least the bankruptcy courts are quick to cancel credit card debt. It's one way consumers can fight back against an industry that is putting more and more strain on the average American consumer just to turn a profit.
