While many Americans have piled up thousands of dollars’ worth of credit card debt in the months since the recession began, there is help on the way thanks to the new financial reform bill.
The bill, which passed the Senate 60-39, will add new help for Americans in the form of the Consumer Financial Protection Bureau, which will operate as part of the Federal Reserve System. The new body will help to govern the way banks can lend to consumers, and will have the unprecedented ability to rule on rates and fees that it deems harmful.
"From now on, every American will be empowered with the clear and concise information you need to make financial decisions that are best for you," said President Barack Obama, who is expected to sign the bill before July 24. "It will reinforce the new credit card law we passed banning unfair rate hikes, and ensure that folks arent unwittingly caught by overdraft fees when they sign up for a checking account."
In addition to credit card lending, the new bureau will have oversight of several other types of loans, including mortgages.