Category Archives: Credit Cards

American Banker reports CFPB will cut credit card late fees to $8

The Consumer Financial Protection Bureau plans to cut credit card late fees to $8, wiping out up to $9 billion a year in fees that have become highly profitable for banks and credit card companies. CFPB Director Rohit Chopra plans to propose a rule on Wednesday that would slash late fees from the current $30 […]

CFPB proposes to rein in credit card late fees

The Consumer Financial Protection Bureau proposed today “a rule to curb excessive credit card late fees that cost American families about $12 billion each year. Major credit card issuers continue to profit off late fees that are protected by an expansive immunity provision. Credit card companies have also relied on this provision to hike fees […]

CFPB seeks information on consumer credit card market

The Consumer Financial Protection Bureau issued a request for information seeking public feedback on how the consumer credit market is functioning as part of a biennial review of the industry. The CFPB is seeking more and current information on various aspects of the consumer experience with credit cards. Congress enacted the Credit Card Accountability Responsibility […]

Kate Berry reports that credit card late fees could drop to $15 or less

American Banker’s Kate Berry reports in an article titled Could credit card late fees drop to $10? (behind paywall but probably available on Lexis) that the CFPB is expected to issue a proposal soon that would cut credit card late fees sharply. Under the Credit CARD Act of 2009, credit card late fees must be […]

American Banker op-ed: For many borrowers, Truth in Lending Act disclosures aren’t enough

My latest, co-authored with Nahal Heydari. It may be behind a paywall, but should soon be available on Lexis. It’s based on our article, Not-So-Smartphone Disclosures, which reports on the results of a survey of consumer understanding of credit card disclosures on smartphones and other computers. Here’s an excerpt: If we had graded the consumers by […]