Rep. Doris Matsui Votes In Favor Of Credit Cardholders' Bill Of Rights Act Of 2009

Press Release

Today, Congresswoman Doris Matsui (CA-05) voted in favor of H.R. 627, the Credit Cardholders' Bill of Rights Act of 2009, which will mandate transparency of credit card terms, limit the ability for credit card companies to increase rates on previous purchases, and a series of additional provisions to further protect American consumers from predatory credit card practices.

The Credit Cardholders' Bill of Rights Act of 2009, which passed the House with a bi-partisan vote of 357-70, increases transparency and fairness in the credit market, and will empower consumers to better manage their accounts and avoid excessive and unnecessary costs.

"This bill will help restore fair competition to the credit industry and protect the millions of Americans from abusive credit card practices," stated Congresswoman Matsui. "The people of Sacramento work hard and play by the rules; they deserve fair treatment from their credit card companies."

During the current economic recession, many Americans have lost their jobs and their homes, and are facing rising costs in health care and living costs. This uncertainty has led millions of Americans to turn to credit cards to make ends meet. As a result, an estimated 145 million Americans are falling further and further into credit card debt. Our country's average credit card debt per household currently hovers at $10,678 per household, and growing.

The hidden fees, interest rates, and other unfair credit card practices have made it literally impossible for consumers to pay or in some cases repay their debt. This accumulation of large amounts of debt have attributed to a 40 percent jump in personal bankruptcies and a drop of the US personal savings rate to 1% or less, compared to 7% in the early 1990s.

"The Credit Cardholders' Bill of Rights will empower consumers in Sacramento and across the country to better manage their accounts, avoid excessive and unnecessary costs, and make informed decisions in their financial lives," said Rep. Matsui. "This legislation is a necessary step to protect consumers and restore the promise of a healthy financial future for all Americans."

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