Slaughter to Offer Bill to Cap Card Rates

American Banker 
November 30, 2009

House Rules Committee Chair Rep. Louise Slaughter (D-N.Y.) has confirmed that she, along with Reps. John Tierney (D-Mass.) and Michael Capuano (D-Mass.), is hammering out a measure that would limit interest rates on credit cards to no more than 16 percent and also restrict "exorbitant and unnecessary fees." The bill would allow some flexibility for temporary hikes in the cap, according to Slaughter's press release on the planned legislation. "Things were a lot better for the average person in this country when we had usury caps," she was quoted in the bulletin as saying. The lawmaker also called it "criminal" for credit card issuers to "have exploited people by increasing rates up to 30 percent and more"-- a practice that would be ended by her legislation. 

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