House Approves Rahall-Cosponsored "Credit Cardholders' Bill of Rights"

Press Release

U.S. Rep. Nick J. Rahall (D-WV) celebrated the House passage Tuesday of the Credit Cardholders' Bill of Rights Act of 2008, H.R. 5244, by a vote of 312 to 112. The bill, cosponsored by Congressman Rahall, abolishes major industry abuses that unfairly hurt consumers and improves consumer protections.

"As West Virginians turn to their credit cards to help pay bills, buy groceries, and make ends meet in this troubled economy, we need our credit cards working for us, not against us," said Rahall. "This bill, which I cosponsored, helps level the playing field between credit card companies and cardholders, while encouraging free and fair competition on which the American economy thrives."

The Credit Cardholders' Bill of Rights:

* Requires card companies to give cardholders advance notice of any interest rate hike
* Gives cardholders the right to say "no" to borrowing money at a higher interest rate than they originally agreed to
* Stops tricks and traps that make cardholders incur rate hikes and pricey fees
* Empowers cardholders to set limits on their credit
* Shields cardholders from misleading terms
* Protects vulnerable consumers from fee-heavy subprime cards
* Requires Congress to provide better oversight of the credit card industry

"Hard-working West Virginians cannot afford to be taken advantage of by unfair interest rate hikes and misleading credit card fees," said Rahall. "The Credit Cardholders' Bill of Rights gives Congress and the American people important tools to help shore up our Nation's lending practices and boost our sagging economy."

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