[Congressional Record Volume 155, Number 65 (Thursday, April 30, 2009)]
[Extensions of Remarks]
[Pages E1027-E1028]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             CREDIT CARDHOLDERS' BILL OF RIGHTS ACT OF 2009

                                 ______
                                 

                               speech of

                          HON. JOHN D. DINGELL

                              of michigan

                    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 of 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. DINGELL. Mr. Chair, I rise today in strong support of H.R. 627, 
the ``Credit Cardholders' Bill of Rights Act of 2009,'' a bill of which 
I am a proud co-sponsor. My friend and colleague, Representative 
Carolyn Maloney, who is the bill's author, has been a tireless advocate 
for protecting consumers from the abuses of the credit card industry. 
This legislation will mandate meaningful reform on an industry that has 
been permitted to run wild for far too long.
  We hear daily of countless Americans, who are struggling to pay their 
bills. Compounding this lamentable state of affairs is the fact that 
workers in this country have suffered a decline in real wages over the 
past decade. As a result of being stretched to their financial breaking 
point, many families have had to resort to using credit cards to pay 
for unforeseen costs, such as car repairs or emergency room bills. Far 
too often, these families are subjected to arbitrary rate increases and 
also forced to pay iniquitous late fees.
  H.R. 627 will help put an end to these shameful practices and require 
credit card companies to treat consumers fairly. Importantly, this 
legislation will restrict the practice known as ``universal default,'' 
wherein a credit card company uses information about a cardholder's 
financial status, such a change in his or her credit rating, to raise 
the cardholder's interest rate, even if the cardholder has not 
defaulted on payments or made them late. Moreover, H.R. 627 will also 
ban what is known as ``double cycle billing,'' which is the collection 
of interest on amounts already paid by consumers to credit card 
companies.
  In this time of severe recession, I feel it imperative that consumers 
be afforded fair protection from unfair credit card industry practices. 
I urge my colleagues to vote in favor of this common-sense legislation, 
which will help stem the tide of unscrupulous and predatory lending 
that has brought our nation to an economic precipice of gargantuan 
proportions.

[[Page E1028]]



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