Tougher Credit Card rules coming in - GoFuckYourself.com

halfpint · 10-27-2009, 05:37 AM

This is aimed at the UK

Credit card companies have been warned to "get their act together," as the Government brought forward plans to stop them landing borrowers with unsustainable debts.

The Government has launched a consultation document on changes to current industry practices to give consumers a better deal.

Credit and store card firms usually make consumers pay off the cheapest debt first, while more expensive debt - such as cash withdrawn on a credit card - is left until last.

The Government is considering rules which would mean the most expensive debt is paid off first, as well as raising minimum monthly repayments from their current low level to avoid customers taking decades to clear borrowings.

Consumer minister Kevin Brennan said: "Card companies have to get their act together and do more for consumers. My opinion is clear, the current relationship between card companies and consumers cannot go unchallenged. We need to put the customer back in the driving seat."

Other moves being considered by ministers are a ban on increasing credit limits without prior consent - possibly by forcing consumers to opt-in - and restrictions on rate hikes on existing debts without proper explanation.

Mr Brennan added: "It is not acceptable for card companies to impose complex and confusing terms and conditions that can leave people baffled, or to increase interest rates without a proper explanation.

"Consumers have a real responsibility to manage their finances properly, but they also have a right to clear information to enable them to do that. Consumers should not feel each month as if they've been exploited or disadvantaged."

The Government said in July's Consumer White Paper that it would tackle the way credit card repayment policies could lead to bigger than expected interest charges. It is already legislating to ban unsolicited credit card cheques in November. The current consultation will run until January 19.

Fiona Hoyle, head of consumer finance at the Finance and Leasing Association, said: "Many of the measures proposed by the Government have been under discussion with the industry for some time and reflect rapidly-changing market conditions. The industry's commitment to helping consumers is shown by the many measures already taken in recent months."

http://latestnews.virginmedia.com/ne...ules_coming_in

fatfoo · 10-27-2009, 07:01 AM

Yeah, tougher rules. True... true...

Wizzo · 10-27-2009, 07:09 AM

Sounds like the perfect time for programs to add a Real DirectDebit billing option for their UK traffic, as well as other EU countries...

chronig · 10-27-2009, 09:35 AM

Quote:

Originally Posted by Wizzo

Sounds like the perfect time for programs to add a Real DirectDebit billing option for their UK traffic, as well as other EU countries...

Where's your ICQ #?

woj · 10-27-2009, 09:41 AM

"Other moves being considered by ministers are a ban on increasing credit limits without prior consent"

that's stupid

10-27-2009, 05:37 AM	#1
halfpint GFY's Halfpint Industry Role: Join Date: Jun 2007 Location: UK Posts: 15,223	Tougher Credit Card rules coming in This is aimed at the UK Credit card companies have been warned to "get their act together," as the Government brought forward plans to stop them landing borrowers with unsustainable debts. The Government has launched a consultation document on changes to current industry practices to give consumers a better deal. Credit and store card firms usually make consumers pay off the cheapest debt first, while more expensive debt - such as cash withdrawn on a credit card - is left until last. The Government is considering rules which would mean the most expensive debt is paid off first, as well as raising minimum monthly repayments from their current low level to avoid customers taking decades to clear borrowings. Consumer minister Kevin Brennan said: "Card companies have to get their act together and do more for consumers. My opinion is clear, the current relationship between card companies and consumers cannot go unchallenged. We need to put the customer back in the driving seat." Other moves being considered by ministers are a ban on increasing credit limits without prior consent - possibly by forcing consumers to opt-in - and restrictions on rate hikes on existing debts without proper explanation. Mr Brennan added: "It is not acceptable for card companies to impose complex and confusing terms and conditions that can leave people baffled, or to increase interest rates without a proper explanation. "Consumers have a real responsibility to manage their finances properly, but they also have a right to clear information to enable them to do that. Consumers should not feel each month as if they've been exploited or disadvantaged." The Government said in July's Consumer White Paper that it would tackle the way credit card repayment policies could lead to bigger than expected interest charges. It is already legislating to ban unsolicited credit card cheques in November. The current consultation will run until January 19. Fiona Hoyle, head of consumer finance at the Finance and Leasing Association, said: "Many of the measures proposed by the Government have been under discussion with the industry for some time and reflect rapidly-changing market conditions. The industry's commitment to helping consumers is shown by the many measures already taken in recent months." http://latestnews.virginmedia.com/ne...ules_coming_in __________________ Get FREE website listings on Cryptocoinshops.net

10-27-2009, 07:01 AM	#2
fatfoo ICQ:649699063 Industry Role: Join Date: Mar 2003 Posts: 27,763	Yeah, tougher rules. True... true... __________________ Send me an email: [email protected]

10-27-2009, 07:09 AM	#3
Wizzo 2011 GFY Hall of Fame! Industry Role: Join Date: Nov 2000 Location: Back in Texas! Posts: 15,224	Sounds like the perfect time for programs to add a Real DirectDebit billing option for their UK traffic, as well as other EU countries... __________________ Looking for Opportunity!

10-27-2009, 09:41 AM	#5
woj <&(©¿©)&> Industry Role: Join Date: Jul 2002 Location: Chicago Posts: 47,882	"Other moves being considered by ministers are a ban on increasing credit limits without prior consent" that's stupid __________________ Custom Software Development, email: woj#at#wojfun#.#com to discuss details or skype: wojl2000 or gchat: wojfun or telegram: wojl2000 Affiliate program tools: Hosted Galleries Manager Banner Manager Video Manager Wordpress Affiliate Plugin Pic/Movie of the Day Fansign Generator Zip Manager