CLINTON THINKS 30% INTEREST RATES ARE OKAY
HILLARY CLINTON has taken the bold step of proposing a cap on credit care interest rates. The cap: 30%.
Beginning in the 1980s - as part of the Reagan counter-revolution - interest rate controls began disappearing in this country. Rates that generally were below ten percent would rise as much as three times.
The media did not report this story, the politicians did not deal with it, and the banks got away with murder. This is not your average political or economic change; it altered views of fair interest rates going back to the earliest times. Essentially usury became legal.
A logical approach would be to return to pre-Reagan interest rate rules. The banks would be furious, but the rest of America would be better off. But while the exact maximum interest rate is debatable; what is not debatable is that today's rates are indefensible.
2 Comments:
Banks can charge such high rates for credit cards, because technically the money is not condidered a loan. If it were, it would be usury.
Banks can charge high rates because of the law that was passed early in the Bush admin, that sllows them to do that.
That's what needs to be changed and voting to allow a 30% interest rate as Hillary did, doesn't help anyone very much except the credit card companies
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