Tuesday, May 13, 2008

What Does the Fed's Reform Lead to?

Credit card deals bring great revenues to credit companies regardless of the Fed's proposed rule on curbing the unfair credit pratices. The policy of lowering the prime rate and extending the type of collateral banks can use to borrow from the Fed is likely to lead to greater liquidity for the companies and no real relief for card holders.
So far, the interest rates on credit cards have remained the same but how then do banks collect more and more profits? Watch out for fees, folk. Maybe, that's where the trap is..
Also, do you know that you will be able to comment on the Fed's new rule on their website? I will. I want to change things for the better in the US credit card industry.

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