STATEMENT OF ADMINISTRATION POLICY
(Rep. Maloney (D) New York and 128 cosponsors)
The Administration strongly supports Senate passage of the amendment in the nature of a substitute to H.R. 627 that it understands will be offered on the Senate floor by the Chair and Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee. The Board of Governors of the Federal Reserve System, the Office of Thrift Supervision, and the National Credit Union Administration have issued new rules that prohibit unfair credit card practices. The Administration supports Congress's efforts to codify these changes and provide additional strong and reliable protections for consumers that ban unfair and abusive practices.
The Nation's credit card system must have more accountability, including more effective oversight and more effective enforcement of credit card issuers who violate the law. Consumers need to be informed about the consequences of their financial decisions and critical details informing consumer payment decisions need to be written in plain language and be in plain sight on credit card statements. Credit card companies must be required to make their contract terms freely accessible online in a fashion that allows consumers to easily compare products and choose the card that best meets their needs. Moreover, every credit card issuer ought to provide consumers with at least one card option that has simple terms and a fully transparent pricing structure presented in language that is easy to understand.
The Administration applauds the efforts of leaders in the Senate in moving this legislation forward, including the Chair and Ranking Member of the Banking, Housing, and Urban Affairs Committee. The Administration looks forward to working further with Congress on this important issue as H.R. 627 moves through the legislative process.