"Lawmakers Target Credit Card Fees and Rates as Cardholder Debt Surpasses $1 Trillion"

Lawmakers and regulators are pushing for measures to address the rising credit card debt, which surpassed $1 trillion in the second quarter of 2023. Some proposals include capping credit card interest rates at 18% and reducing fees for late payments. However, the success of these measures remains uncertain, as they face challenges in gaining sufficient support and overcoming filibusters. The financial services industry opposes imposing a ceiling on rates, citing potential adverse effects on credit availability and popular card features. Consumers are advised to pay their credit card bills in full and on time to avoid accruing interest charges, regardless of the interest rate cap.