The House today passed a measure that places greater restrictions on credit unions and other credit card issuers.
The bill, which was approved 357-70, is aimed at stopping what some lawmakers see as deceptive practices among credit card issuers. It would ban interest rate hikes on existing balances, over-the-limit fees, double-cycle billing. The cardholders could avoid a higher rate by cancelling the card before the rate takes effect.
CUNA and NAFCU have expressed support for some of these provisions but say that others would prevent credit unions that issue credit cards from managing risk effectively.
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