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...credit-card companies, it's not sufficient that customers pay their bills on time every month; they must also avoid a daunting array of borrowing habits that lenders deem risky. Like borrowing. Katie Groves, 42, learned this firsthand when the annual interest rate on her Chase Visa bill jumped to 29.99%?from the previous 12%. Although she had never missed a payment and owed only $500, she was told that her rate had increased because Chase had checked her credit report...

Author: /time Magazine | Title: Exposing the Credit-Card Fine Print | 2/21/2008 | See Source »

...ending universal default is only the start of sweeping changes to the lightly regulated, $160 billion credit-card industry that are being demanded by consumers and lawmakers alike. Both Hillary Clinton and Barack Obama are campaigning for credit-card reform. On Feb. 7, Representatives Carolyn Maloney and Barney Frank introduced a credit-card bill of rights that would make it harder for issuers to add fees and hike rates. Senator Carl Levin is also sponsoring a bill that would cap rate increases, rein in fees and require clearer disclosures of all costs...

Author: /time Magazine | Title: Exposing the Credit-Card Fine Print | 2/21/2008 | See Source »

...industry has reacted. Chase will join Citibank, which has ceased raising rates for customers on the basis of negative information in their credit reports. "There has never been such a spotlight on the industry," says Curtis Arnold, founder of CardRatings.com, which offers card tips. "It's historic...

Author: /time Magazine | Title: Exposing the Credit-Card Fine Print | 2/21/2008 | See Source »

...last summer, when the Federal Reserve opened its website for public comments on its proposal that lenders give 45-day notice before jacking up rates, more than 2,500 consumers wrote in, including Lee Davis, who emailed, "It's a little late ? credit card shenanigans have already cost me my future...

Author: /time Magazine | Title: Exposing the Credit-Card Fine Print | 2/21/2008 | See Source »

...wage war on terrorism. Are Democrats sure that's a fight they want to have? "There certainly is polling" supporting the party's position, says the senior Senate Democratic aide. "But that's not what people rely on; they rely on their guts. The President has played this fear card one too many times." As things stand, November will be the test of that premise...

Author: /time Magazine | Title: At Odds Again on Wiretapping | 2/15/2008 | See Source »

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