How Bernie Sanders and Alexandria Ocasio-Cortez’s proposal to cap credit card interest rates at 15% could hurt consumers
Bernie Sanders and Alexandria Ocasio-Cortez want to cap interest rates on credit cards and other loans at 15%. But such a plan wouldn’t just hurt banks — it could also have major consequences for consumers.
Don’t miss: American Express relaunches Blue Cash Preferred credit card — with cashback for Netflix, Amazon, Lyft and Uber It could spell the end of credit-card rewards When the Durbin Amendment of the Dodd-Frank Wall Street Reform and Consumer Protection Act went into effect in 2010, debit-card rewards all but ceased to exist. The amendment capped the interchange fees debit-card issuers could charge to retailers. Banks had used the revenue from those fees to finance the debit rewards programs — so when that well ran dry, the programs were terminated.
Ted Rossman, industry analyst at CreditCards.com, compared the hypothetical situation to the airline industry. “Airlines are really good at nickel-and-diming passengers, too,” he said. “When costs like employee salaries and gas prices rise, airlines look to make that up through bag fees, seat assignment fees, etc.”More cards would likely come with annual fees in such a scenario. But other new fees could be instituted, too, such as fees to get a higher credit limit.
Nevertheless, retail cards can be an important tool for consumers to build up their credit history, especially if they eschew the high interest rates by paying their balance in full each month.
इंडिया ताज़ा खबर, इंडिया मुख्य बातें
Similar News:आप इससे मिलती-जुलती खबरें भी पढ़ सकते हैं जिन्हें हमने अन्य समाचार स्रोतों से एकत्र किया है।
Alexandria Ocasio-Cortez suggests battle between Bernie Sanders and Elizabeth Warren for her 2020 endorsementThe 2020 field is crowded with Democratic candidates, and the freshman from New York could help tip the scales.
और पढो »
Sanders, Ocasio-Cortez want to cap credit card interest rates at 15 percentThe proposal is sure to meet stiff resistance from the banking industry, which brought in $113 billion in interest and fees from credit cards last year, up 35 percent from 2012.
और पढो »
Bernie Sanders' poll numbers are falling as 2020 Democrats 'cannibalize' his platform, says Republican strategistA Republican strategist told Fox News that Joe Biden's poll numbers are 'as good as it's ever going to get' and that Bernie Sanders' recent slide in the polls is due to every 2020 Democratic candidate 'cannibalizing' his campaign platform.
और पढो »
'Fresher options' may replace Bernie Sanders as preference of young votersBernie Sanders may have captured the hearts of young voters in 2016 and be leading them now, but one observer of youth politics thinks that that advantage may evaporate by jonward11
और पढो »
Bernie Sanders Takes Aim at Credit Card CompaniesDemocratic presidential candidate Bernie Sanders proposed legislation to cap credit card interest rates at 15%, likening bankers to gangster loan sharks of old cinema.
और पढो »
Bernie Sanders: ‘Economy is doing well’Bernie Sanders acknowledged that the American economy “is doing well” — but said the 2017 tax overhaul backed by Trump isn’t the reason why
और पढो »
Adam Sandler's Opera Man Takes On Old Guys Joe Biden, Bernie Sanders — And Donald TrumpAdam Sandler resurrected Opera Man on "Saturday Night Live" to skewer the oldguys of politics: Donald Trump, Joe Biden and Bernie Sanders
और पढो »
After missile launch, Bernie Sanders says he doesn't 'fault Trump' on North KoreaSen. Bernie Sanders says he 'does not fault Trump' in his handling of North Korea in an exclusive interview with ABC's jonkarl: 'It is very, very difficult, but clearly they are a threat to the planet.' See more Sunday on ThisWeekABC.
और पढो »
Bernie Sanders says he doesn't 'fault Trump' on North KoreaSen. Bernie Sanders says he 'does not fault Trump' in his handling of North Korea in an exclusive interview with ABC's jonkarl: 'It is very, very difficult, but clearly they are a threat to the planet.'
और पढो »
The making of Bernie Sanders: How a hitchhiking campaigner pushed a vision that remains remarkably unchangedHe slept on a friend's couch, hustled for odd jobs and hitchhiked along the campaign trail.
और पढो »