Tester pushing for credit card reform
Senator Jon Tester wants to change the credit card industry — and he's speaking out about it in Washington.
Tester helped write a credit card reform bill that would give cardholders an extra week to pay their bills. The act would also limit fees and ban credit card companies from taking advantage of people under age 21.
Tester says he wants to stop credit card companies from increasing interest rates on customers who pay their bills on time. It's a practice called "universal default."
"They may call that universal default, but where I come from in Montana, we call that a rip-off," said Tester. "This reform legislation puts common sense and honesty back into the credit card industry. It will establish a new set of standards at a time when hardworking, honest folks are getting squeezed in this tough economy."
The U.S. Senate is expected to vote on the Credit CARD Act next week.