Becuase Everything Else Sucks

Regulators Say No to Credit Card Debt Forgiveness Plan

By Manila Ryce
Published Friday, November 14th, 2008, 3:45 am
Filed under: Human Rights, Economic, US Politics

Welfare for corporations, of course, but fuck the working class as they’re being crushed under the weight of medical bills, gas prices, student loans, inflation, and a trillion dollar Wall Street bailout.

Federal bank regulators have rejected a request by banks and consumer advocates for a program to let lenders forgive huge portions of credit card debt.

The Office of the Comptroller of the Currency rejected the request for a special program that would allow as much as 40 percent of credit card debt to be forgiven for consumers who don’t qualify for existing repayment plans.

An unusual alliance of financial industry interests and consumer advocates, represented by the Financial Services Roundtable and the Consumer Federation of America, made the request to the Treasury Department agency on Oct. 29. It demonstrated the urgency of the situation in a deepening economic crisis: consumers — even those with strong credit records — defaulting at high levels on their credit cards, while banks battered by the credit crisis bleed tens of billions from the losses.

An agency official said the government objects to allowing banks to defer losses for several years on the forgiven debt, as would occur in accounting by lenders under the special program.

read more…

3 Responses to “Regulators Say No to Credit Card Debt Forgiveness Plan”

  1. My credit is awful anyway, due to maxing out my cards to pay for medical bills, but that’s another topic altogether. In the meantime, I have a six to nine year wait already in progress.

  2. […] Regulators Say No to Credit Card Debt Forgiveness Plan - The … […]

  3. Always trying to get into our pockets.

    Thanks

    Jason Berkes

Leave a Reply

Tired of filing this information out everytime you leave a comment at the Largest Minority? Why not register as a user? You also get full access to our forum!

XHTML: You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <code> <em> <i> <strike> <strong>