(Washington, DC) - Rep. Gary L. Ackerman (D-Queens/L.I.), a senior member of the House Financial Services Committee, today praised a proposed rule issued by the Federal Trade Commission that would ban unfair and deceptive credit card practices.  In a letter to the Chairman of the Federal Reserve, the Director of the Office of Thrift Supervision, and the Chairwoman of the National Credit Union Administration, Ackerman called the rule “an important and necessary step towards fairness and shared responsibility in credit card contracts.”

“I became a cosponsor of the Credit Card Holders’ Bill of Rights because I believe that consumers deserve fairer treatment and a better opportunity to manage their credit responsibly, and this rule has that same aim,” commented Ackerman. 

The proposed rule identified retroactive repricing, universal default, double cycle billing, payment allocation to low rate balances, and excessive fees charged for subprime cards as unfair and deceptive practices. The Credit Card Holders’ Bill of Rights, a Congressional initiative cosponsored by Ackerman, would abolish major industry abuses while encouraging free market values and fair competition.
 

###

Return to Gary's Homepage