The Learning Curve

New tricks for an old dog.

Where are the lawyers?

Arianna Huffington asked, and then asked again, why the new rules recently approved by the Federal Reserve to curb a few excesses of the credit card  industry do not go into effect until the summer of 2010.  The answers she received are interesting, if unconvincing.

After spending a few weeks delving into the law relating to these issues, my question is where have all the lawyers been?  It seems to me that many of the more egregious practices of some credit card companies could have been . . . and still can be . . . challenged in court with a fair measure of success.

The answers that I can imagine are:

(1) most lawyers who understand this crap all work for the credit card companies, and

(2) your average credit card customer is terrified of adversely affecting her FICO score.

Hitherto there has been neither supply-side push nor demand-side pull for this type of litigation.

Hitherto.

I predict the time has come to bring on the lawyers.

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Written by Tom Fox

02/28/2009 at 5:21 pm

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