[Congressional Record Volume 155, Number 65 (Thursday, April 30, 2009)]
[Extensions of Remarks]
[Page E1026]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             CREDIT CARDHOLDERS' BILL OF RIGHTS ACT OF 2009

                                 ______
                                 

                               speech of

                         HON. PATRICK J. MURPHY

                            of pennsylvania

                    in the house of representatives

                       Wednesday, April 29, 2009

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 627) to 
     amend the Truth in Lending Act to establish fair and 
     transparent practices relating to the extension of credit 
     under an open end consumer credit plan, and for other 
     purposes:

  Mr. PATRICK J. MURPHY of Pennsylvania. Mr. Chair, I rise in strong 
support of the Credit Cardholders' Bill of Rights, which will provide 
real relief to Americans who are being hit hard by unfair credit card 
practices.
  Congresswoman Carolyn Maloney has been fighting for three years to 
bring these predatory practices to light, and I commend her tireless 
efforts.
  Mr. Chair, college students are particularly vulnerable to credit 
card targeting and marketing. As they walk through campus, they come 
across offers ranging from free food to clothing just for filling out a 
credit card application. But after the free gifts, too many students 
are left with piles of debt and nowhere to turn.
  For too long, credit card companies have had special deals with 
universities to let them market to students. Through these deals, 
schools receive large cash payments in exchange for handing over 
students' personal information and providing access to their campuses. 
Right now, with their families at home struggling, more students are 
turning to credit cards to fill the gap between their tuition bill and 
student loans. As a result they are racking up debts that take years to 
pay off. A Sallie Mae study recently reported that college seniors are 
graduating from school with an average of more than $4,100 in credit 
card debt.
  I strongly support today's bill, but as it progresses I hope to see a 
provision included to bring accountability to the deals credit card 
companies make with schools. We should require that companies report 
the terms and conditions of agreements with schools and call for a GAO 
report to show the impact these agreements have on overall credit card 
debt. I offered a bipartisan amendment with Congressman Petri from 
Wisconsin to do just that, but unfortunately it fell to procedural 
hurdles.
  This provision would provide much needed transparency--and hopefully 
help prevent students from falling too far behind before they graduate. 
I hope as this bill makes its way through Congress, our amendment will 
ultimately be incorporated.
  Mr. Chair, this bill is an opportunity to do what's right for 
American consumers. I will continue to look for ways to provide more 
transparency to these practices--something that the American people are 
desperate for right now.
  With this bill, we are taking a large step toward decreasing credit 
card debt. I urge my colleagues to keep the debt of college students in 
mind as this bill moves forward.

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