Released: March 07, 2007

Credit card firms promise clear, simple language

Source: John Poirier, Reuters [Washington Post] (Free Registration)

Several bank credit card companies, responding to growing pressure from U.S. lawmakers, said on Wednesday they are working to do a better job of explaining fees and charges to consumers.

But Sen. Carl Levin, chairman of the Senate Permanent Subcommittee on Investigations, said he still thinks legislation is needed to stop industry practices he described as predatory and confusing to consumers.

At a hearing on credit card fees, the Michigan Democrat said he expects a bill to be referred to the Senate Banking Committee that would also require regulators to improve disclosure rules.

“Our investigation found that even accounts in good standing are socked unfairly by little known ... practices that inflate interest charges,” Levin said.

Read Full Article: Credit card firms promise clear, simple language