Credit and Prepaid Card News
The latest news on the credit card and prepaid card industry from the Center for Responsible Lending.
- Payroll Debit Cards on the Rise, And So Are Hidden Fees
AOL Jobs 27 Jun 2013
A growing number of employers -- particularly those with seasonal or transient workers -- are using debit cards to pay the help. A 2012 report from the Aite Group estimated that $42.8 billion dollars will be loaded onto these cards this year...
- Check Cashing Shops Expensive, Banks Better, According to Massachusetts Division of Banks Study
The Republican (MA) 24 Jun 2013
A report from the Massachusetts Division of Banks concludes that signing up for a checking account at a bank or credit union is a more affordable alternative for consumers than using check cashing shops, which could charge them $200 to $1,300 in annual fees for services that would cost nothing -- or next to nothing -- at a traditional financial institution.
- More Young People Ditching Credit Cards
New York Times 20 Jun 2013
In 2012, 16 percent of adults aged 18 to 29 did not have a single credit card -- up from 9 percent in 2005. That is one of the findings of FICO's new analysis of data on millions of consumers...
- 5 Secrets Credit Card Companies Don't Want You to Know
Fox 7 (Austin, Tex.) 20 Jun 2013
Credit card holders can reduce unnecessary penalties by examining the fine print of their user agreements. Many cards allow for interest-free purchases if they are repaid within a grace period; but spenders should know that providers are abbreviating that period from 30 days to 20-25 days, or eliminating it completely.
- Credit CARD Act: The Next Generation
CreditCards.com 18 Jun 2013
The Credit CARD Act of 2009 helped to curtail consumers' penalty fees and surprise interest-rate increases, but the law may be due for an update already due to new consumer complaints.
- Millennials Big Fans of Prepaid Cards, Payday Loans
USA Today 13 Jun 2013
A Think Finance survey of more than 1,000 Millennials, ages 18-34, reveals that they are willing to pay for convenience when it comes to financial products. Although 92 percent of respondents use...
- U.S. Bank Overdraft Settlement Drags On
Minneapolis Star Tribune (MN) 11 Jun 2013
Almost a year ago, U.S Bank agreed to pay $55 million to settle accusations that it overcharged customers by reordering debit card and ATM overdrafts by size rather than when the overdraft occurred...
- Banks Seen as Aid in Fraud Against Older Consumers
New York Times 10 Jun 2013
Federal authorities say it is an all-too-frequent occurrence that reputable U.S. banks are used as gateways between fraudulent Internet merchants and their victims—often seniors...
- Beware of Credit Card Checkout Fees
wfdd.org 10 Jun 2013
Although credit cards can be convenient, help build credit, and earn rewards, users also need to keep an eye out for a new surcharge. Under a 2012 settlement with Visa, MasterCard...
- A.G. Targets Exorbitant Credit Card Rates
Westfair Online 04 Jun 2013
New York State Attorney General Eric T. Schneiderman reached a settlement agreement with GE Capital Retail Bank and its CareCredit LLC unit. The agreement requires new protections for consumers...
- Credit-Card Option That Travelers Should Avoid
Seattle Times 22 May 2013
With a service called "dynamic currency conversion," overseas merchants can process a credit card charge in the cardholder’s native currency rather than in the merchant’s currency; but it could cost travelers extra. Companies that allow merchants to run DCC transactions promise increased revenue, because merchants can charge for making the conversion...
- Credit Card Debt Causes People to Forgo Medical Care
CreditCards.com 21 May 2013
New research out of the University of Michigan suggests that credit card debt prevents ill borrowers from seeking treatment. More than 64 percent of study participants who were sick but had not visited a healthcare provider because of the cost were buried under credit card debt, and almost 58 percent of sick people who declined to seek medical attention were already burdened with medical bills...