Re: [OpenFX] Yahoo! News Story - Bernanke: Fed, others working on overhaul rules

We really got protected by the last set of consumer protection regulations for the Credit Card issuers. I have a fairly decent credit score above 750 and all the cards I've had for many many years now range from 12.XX-18.XX% up from 6-10% and if I miss one payment due date which is less than 30 days from the billing date, not received date, my interest rate goes generally to 29.XX% the default rate. It's not enough for them to penalize the individual with the $35.00 late payment fee. For one missed minimum payment. In the past I've had late payment fees of $35 for a $10 or less total balance that I spaced. They aren't happy enough to just charge you interest on interest at very high rates when they pay < 1% for capital. Legal Loan Sharking supported by the Fed Discount Window. Such a deal, if they can't make money with those spreads something is radically wrong. The fleecing of the american consumer!!

Does it make sense to bury a consumer with impossible interest rates when they are already having difficulty paying at the existing high rates? So they drive them into bankruptcy under the new bankruptcy laws that only benefited the banks. The Fed, the private bank that supports the stock held banks.

This was a plan by the Bankers Association many decades ago when they lobbied and dismantled state by state the ceiling on interest rates which used to be controlled by each state at around 10-12%. South Dakota was first and Citicard set up operations there. Then they went to work at the Federal level. All you can do is blame your past state reps and congress for this situation as it stands today as well as the Fed who until now had the rules making authority. I guess they still do with the new agency under them.

From: Clay Mara <clay@claymarafiote.com>
To: OpenFX@yahoogroups.com
Sent: Thu, September 30, 2010 1:14:34 AM
Subject: [OpenFX] Yahoo! News Story - Bernanke: Fed, others working on overhaul rules - Yahoo! News

Clay Mara (clay@claymarafiote.com) has sent you a news article.
(Email address has not been verified.)
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Personal message:

Hi Traders,

This doesn't exactly give me warm fuzzies:

"At the same time, the Fed is transferring many of its consumer protection responsibilities to a new watchdog agency created by the law. The Bureau of Consumer Financial Protection is housed within the Fed and bankrolled by the Fed, but Bernanke has no authority over it."

I've learned that whenever legislation is couched as something good for the general consensus, BEWARE. Also notice, this new "Bureau" is housed within a private bank, The Federal Reserve.

It's time this country woke-up and the general population took it's collective head out of sand (and I'm being polite here).

Comments welcome.

Cheers,

Clay

Bernanke: Fed, others working on overhaul rules - Yahoo! News

http://news.yahoo.com/s/ap/20100930/ap_on_bi_ge/us_financial_overhaul

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