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President joe biden on tuesday touted his administration's latest effort to slash credit card late fees in a move that's estimated to collectively save families $10 billion every year. “for over a decade, credit card giants have been exploiting a loophole to harvest billions of dollars in junk fees from. Washington (ap) — the biden administration announced a rule tuesday to cap all credit card late fees, the latest effort in the white house push to end what it has called junk fees and a move that regulators say will save americans up to $10 billion a year.
Banking and credit card companies have started reacting to a new biden administration rule that puts an $8 ceiling on credit card late fees. The biden administration is trying to rein in what it says are unnecessarily high credit card late fees, putting in place a new consumer protection rule it says will lower them The consumer financial protection bureau’s new regulations will set a ceiling of $8 for most credit card late fees or require banks to show why they should charge more than $8 for such.
A federal judge in fort worth, texas, on friday blocked a new biden administration rule that would prohibit credit card companies from charging customers late fees higher than $8.
The consumer financial protection bureau finalized a rule limiting credit card late fees to $8 The move could save 45 million people an average $220 per year on late fees. The consumer financial protection bureau proposed capping credit card late fees at $8 wednesday, which would be lower than the up to $41 that some companies charge on top of interest. The biden administration has introduced a rule capping credit card late fees at a maximum of $8, a sharp decrease from the current $32 average.
President joe biden’s administration is announcing a final rule curtailing credit card late fees, one of a series of steps to try and drive down everyday costs for households that are weighing on his approval rating as he seeks reelection.
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