credit card fraud

A few days ago, the Congress passed the credit card reform bill 357 to 70, and is expected to pass in the Senate soon. This is basically a joke bill designed to make the legislature and the president look like they are doing something on behalf of the American people, and at the same time, appear to putting pressure on the banking industry to bend a little bit in lieu of the hundreds of billions they’ve already received from the taxpayers via the bailouts. In a tiny nutshell all this bill does is; prohibit those less than 18 years old from getting a card, makes the fine print disclosures bigger print disclosures, and introduces a 45 day advance notice of when they double or triple your interest rate without cause.

Oh, can’t ya hear that whistle blowin’, the big change express must be comin’ down the pike! And just in time, now that more people than ever are living off their credit cards, with the average household card dept closing in on eleven thousand dollars, interest rates in the high 38% area, and defaults at an all time high. And there’s absolutely nothing in this bill that will have any effect – what so ever – on any of this. So what, if you get a months prior notice of a big interest hike, it’s not like it’s being delayed, modified, or reigned in – but now, courtesy of your awesome big change government you now get the shock a month in advance, at no extra charge. BFD.

It could have been different. There were at least three separate amendments aimed at the more critical issue of the interest rates themselves, that would have put caps on the amount of interest that the banks can charge. One was set at 12%, one at12% + prime, and one was set at 18%. But Democratic House Speaker Nancy Pelosi and Democratic Chairman of the House Committee on Financial Services Barney Frank thought otherwise, and and saw fit to allow no such teeth to be grafted into the toothless Democratic gopher government. I dunno’, maybe it was the freighting prospects of winning with less than the 357 to 70 squeaker finish, that they begged for the extraction instead of the crown. Or perhaps, it could have been that bad habits die hard – especially if bad habits happen to be your bread and butter. But more that likely it was, as Dick Durban said recently ” And the banks — hard to believe in a time when we’re facing a banking crisis that many of the banks created — are still the most powerful lobby on Capitol Hill. And they frankly own the place.

No shit.

I suppose its never dawned on these geniuses that capping the interest rates would, in an economy reeling with dept, and at no extra cost – pour billions of dollars back into the real economy, that would save millions of jobs, and give relief to millions that might otherwise default on their mortgages, car loans, school loans, and yes, default their credit card loans.

But then again, gopher is as gopher does,

And gopher does as gophers told.

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