Okay, this has probably been posted; however, I have researched and

[frankly_fedup2]

not found a thread on DU regarding this new plan for the working middle class to catch up on debt.

Before the end of the year, our government is making it mandatory that credit card companies double their minimum payment on all credit cards.

1. First, can they legally do that?
2. So is that what Bush is doing with any of our tax money with our debts to China and Saudi Arabia?
3. Why not cap the interest on the credit card companies (i.e. in Virginia there is no limit as to what they can charge as far as interest). That way people would be paying more off the principal and the credit card companies would still be making huge profits.

My son told me about another couple he and his wife socialize with. They are all young, newly married about 4-5 years each and I have one grandson and this other couple have a little boy 4 and just had a baby girl. Well, the other couple needed a new car but has never really had any credit. They have found out it's better to have bad credit then none at all . . . go figure? They went out of town and got a new car alright, at 30% interest.

I felt like taking that car back myself to the dealership that took advantage of these kids. They are in their early 20's but still, they don't have a clue as to what they have signed on to. \

I already pay twice the minimum payment on our one credit card to get it paid down. What I am afraid of is if they start doing this with house payments.

Also, remember the new bankruptcy laws are coming into play just before this decision was made. Planning to totally crush the working middle class and poor.

Here is an article I found regarding this credit card increased payment by the end of the year. If there was an earlier post, please post it so I can forward my post there.

<http://www.freep.com/money/business/tompor12e_20050912.htm>

(snip)For many consumers, it won't be easy to see the required minimum monthly payments on their credit cards go up by a sizable chunk this year. Some minimum payments could double, but others won't. How high payments will go will depend on spending habits, the size of the balance and the interest rate on the cards. (snip)

[radwriter0555]

1. Well, people are inclined to make very poor choices. Americans get sucked

into the buy-more, have-more, keep-more syndrome, from watching too much teevee and spending too much time in Walmart. That couple you refer to didn't have to buy a new car; they could easily have bought a cheaper, used one. They made a bad choice, even though they have the option of being better informed and more careful with their money.

No one forced them to buy a new car; no one forces anyone to take on credit cards. You can indeed live just fine without credit cards.

Luckily, most US mortgages are contracts, and when you take out a loan for a house, read the contract. If the contract is subject to changes that put you to a disadvantage, then don't buy the house.

The republicans are not going to legislate anything that will hinder thier friends in the banking racket, especially since Americans are making those pals very, very rich. With the US economy swirling rapidly round the toilet bowl, expect the pals of bush to become even more rich at your expense.

The choice is up to the American people in not making bad choices. Americans need to turn off their teevees and start paying attention to their own little world, and not the fantasies of the teevee worlds.