WASHINGTON, D.C. – Congresswoman Nancy Boyda (Kansas Second District) applauded yesterday’s action by the United States House of Representatives, after a 312 -112 vote to pass the Credit Cardholders’ Bill of Rights Act of 2008.

Rep. Boyda issued the following statement on the passage of H.R. 5244:

“One message I hear again and again around the district is that Kansas families are pressed for time and money. The unpredictable charges and confusing language that come with credit cards are a part of that problem. I am pleased to see the House come up with a solution.

“This bill requires credit card contracts to be written in clear language that real people can understand. The current disclosures are obviously being written by lawyers who are more interested in avoiding lawsuits than in informing customers. I believe strongly in personal responsibility, but no hard-working man or woman has the time needed to read through the endless pages of gobbledygook that come with credit cards these days. We ask people to live up to agreements that they have signed. It is only fair that those agreements be written in language that can be understood.

“H.R. 5244 helps ensure that contracts are fair to both the consumer and the bank. Hidden fees and surprise interest rate changes are unfair to the consumer. The most important information to the consumer – services and expenses – must be spelled out in large type in a simple document. The consumer should be able to expect that those terms will stay consistent. If a bank wants to modify the contract, the consumer has to be given clear notice far in advance of the change. That’s fair. The banks are also entitled to a fair deal from interest groups and regulators.

“This bill will help make the whole credit card and debit card system transparent enough that consumers can figure out how much they owe, why they owe it, and where that money goes. A consumer considering a new card should be able to quickly and easily figure out how much they will owe under a variety of circumstances.

“We need a system where those who treat others honestly and fairly are rewarded and those who don’t are punished. H.R. 5244 is a start toward that goal.

“I now urge the Senate to follow suit and pass the Credit Cardholders’ Bill of Rights. It is legislation that contains common-sense solutions to the most outrageous problems.”