All of Washington is a play! Politicians are actors working to convince the American people that they are actually doing something good for the American voter. They are working overtime to convince all of us that they are acting in our best interest. Well in the final act of the new credit card legislation, the attempt to force credit card companies to freeze rates ahead of the implementation of the new credit card legislation died in the Senate.

Earlier, the House had voted to enforce the new rules ahead of time. The Senate (no big surprise), led by the Republicans, killed it. Remember that at the end of the day, the politicians protect the hand that feeds them. Plus they have already been forced to do enough to their friends through that mean old credit card act.

It wouldn’t be a blog without a line from politician Christopher Dodd.

“Knowing that the Credit CARD Act would finally protect consumers from these abuses, the industry has tried to make one last grab for their customers’ pocketbooks,” Dodd, D-Conn., told the Senate Wednesday.

Well, that is a little bit of a stretch. The Card Act only gives a little protection and just opens up the door to give the credit card industry new avenues of abuse. Then he defends the time gap between passing the legislation and enactment of the legislation. These soundbites are always pretty funny because beyond politics, there really wasn’t any good reason to expose the consumer to the abuses of the credit card industry while waiting on the new laws to go into effect.

“The reason we allowed a gap period between the passage of the legislation and the imposition of the regulations or the statutory requirements was because the industry came to me and said, you know senator, we’re going to need some time to administer, to change how we provide these kinds of benefits to people. So would you give us a little window here to operate?” Dodd said.

Come on Politician Dodd, can you give us a hand up? wink wink Once again, Politician Dodd I am as surprised as you that those credit card companies would take advantage of the situation like that have done.

How about a line from the credit card industry? This was in one news report:

A spokesman for the credit card industry said earlier this month that they have complied with all provisions of the new law and that any attempt to freeze rates or move up the effective date of the regulations “will further restrict access to credit for both consumers and small businesses, all to the detriment of the broader economy.”

Actually there is nothing that could make the flow of credit any worse in this country. A 2 to 3 month interest rate freeze would have no ill effect on the damaged credit system in this country.

Tags: Bob Brooks, Christopher Dodd, Credit CARD act, credit card legislation, politicians