Connect with us

Published

on

The Biden administration announced a rule Tuesday to cap all credit card late fees, the latest effort in the White House push to end what it has called junk fees and a move that regulators say will save Americans up to $10 billion a year.

The Consumer Financial Protection Bureaus new regulations will set a ceiling of $8 for most credit card late fees or require banks to show why they should charge more than $8 for such a fee.

The rule would bring the average credit card late fee down from $32.

The bureau estimates banks brought in roughly $14 billion in credit card late fees a year.

In credit cards, like so many corners of the economy today, consumers are beset by junk fees and forced to navigate a market dominated by relatively few, powerful players who control the market, said Rohit Chopra, director of the bureau, in a statement.

President Biden planned to highlight the proposal along with other efforts to reduce costs to Americans at a meeting of his competition council on Tuesday.

The Democratic president is forming a new strike force to crack down on illegal and unfair pricing on things like groceries, prescription drugs, health care, housing and financial services.

The strike force will be led by the Justice Department and the Federal Trade Commission, according to a White House statement.

The Biden administration has portrayed the White House Competition Council as a way to save people money and promote greater competition within the US economy.

The White House Council of Economic Advisers produced an analysis indicating that the Biden administrations efforts overall will eliminate $20 billion in annual junk fees.

The analysis found that consumers pay about $90 billion a year in junk fees, including for concerts, apartment rentals and auto dealers.

The effort appears to have done little to help Biden politically ahead of this years presidential election.

Just 34% of US adults approve of Bidens economic leadership, according to a new survey by The Associated Press-NORC Center for Public Affairs Research.

Sen. Tim Scott, R-South Carolina, criticized the CFPB cap on credit card late fees, saying that consumers would ultimately face greater costs through higher interest rates and less access to credit.

It will decrease the availability of credit card products for those who need it most, raise rates for many borrowers who carry a balance but pay on time, and increase the likelihood of late payments across the board, Scott said.

Americans held more than $1.05 trillion on their credit cards in the third quarter of 2023, a record, and a figure certain to grow once thefourth-quarter datais released by the Federal Deposit Insurance Corp. next month.

Those balances are now carrying interest on them, which is the highest it has been since the Federal Reserve started tracking the data back in the mid-1990s.

Subscribe to our daily Business Report newsletter!

Please provide a valid email address.

By clicking above you agree to the Terms of Use and Privacy Policy.

Never miss a story.

Further, more Americans are falling behind on theircredit card debtsas well.

Delinquency ratesat the major credit card issuers such as American Express, JPMorgan Chase, Citigroup, Capital One and Discover have been trending upward for several quarters.

Some analysts have become concerned Americans, particularly poorer households hurt by inflation, might be taking on too much debt.

Overall, the consumer is credit healthy. However, the reality is that there are starting to be some significant signs of stress, said Silvio Tavares, president and CEO of VantageScore, one of the countrys two major credit scoring systems, in an interview last month.

The growth of the credit card industry is partly whyCapital One announced it would buy Discover Financiallast month for $35 billion.

The two companies, which are two of the largest credit card issuers, are also two companies whose customers regularly carry a balance on their accounts.

This is not the first time policymakers have weighed in on credit card fees.

Congress in 2010 passed the CARD Act, which banned credit card companies from charging excessive penalty fees and established clearer disclosures and consumer protections.

The Federal Reserve issued a rule in 2010 that capped the first credit card late fee at $25, and $35 for subsequent late payments, and tied that fee to inflation.

The CFPB, which took over the regulation of the credit card industry from the Fed after it was established, is proposing going further than the Fed.

The bureaus proposal is similar in structure to what the bureau announced in January when it proposedcapping overdraft feesto as little as $3.

In that proposed regulation, banks would be required to either accept the bureaus benchmark or show regulators why they should charge more, a method that few bank industry executives expect to use.

Biden has madethe elimination of junk feesone of the cornerstones of his administrations economic agenda heading into the 2024 election.

Fees that banks charge customers have been at the center of that campaign, and the White House directed government regulators last year to do whatever is in their power to further curtail the practice.

In another move being highlighted by the White House, the Agriculture Department said it has finalized a rule to stop what it deems to be deceptive contracts by meat processors and to ban retaliation against small farmers and ranchers that work together in associations.

Continue Reading

Politics

The ‘£7bn’ government secret

Published

on

By

The '£7bn' government secret

👉 Click here to listen to Electoral Dysfunction on your podcast app 👈

Who knew what about the Afghan data leak? And could anyone in parliament have done more to help scrutinise the government at the time of the superinjunction? Harriet thinks so.

So in this episode, Beth, Ruth, and Harriet talk about the massive breach, the secret court hearings, and the constitutional chaos it’s unleashed.

Plus – the fallout from the latest Labour rebellion. Four MPs have lost the whip – officially for repeated defiance, but unofficially? A government source called it “persistent knobheadery”.

So is Keir Starmer tightening his grip or losing control? And how does this compare to rebellions of Labour past?

Oh and singer Chesney Hawkes gets an unexpected mention.

Responding to claims in the podcast about whether Commons Speaker Sir Lindsay Hoyle could have scrutinised the government, a Commons spokesperson said: “As has been made clear, Mr Speaker was himself under a superinjunction, and so would have been under severe legal restrictions regarding speaking about this. He would have had no awareness which organisations or individuals were and were not already aware of this matter.

More on Afghanistan

“The injunction could not constrain proceedings in parliament and between being served with the injunction in September 2023 and the 2024 General Election Mr Speaker granted four UQs on matters relating to Afghan refugees and resettlement schemes.

“Furthermore, as set out in the Justice and Security Act 2013, the Speaker has no powers to refer matters to the Intelligence and Security Committee.”

Continue Reading

World

England through to semi-finals of Women’s Euros after beating Sweden on penalties

Published

on

By

England through to semi-finals of Women's Euros after beating Sweden on penalties

England have booked their place in the semi-finals of the Women’s Euros after knocking out Sweden.

The Lionesses won 3-2 on penalties at Stadion Letzigrund in Zurich, Switzerland, after clawing their way back to take the game into extra-time.

The defending champions had been 2-0 down at half-time after goals from Sweden’s Kosovare Asllani and Stina Blackstenius in the quarter-final clash.

England then levelled matters towards the end of normal time. Lucy Bronze delivered the first England goal on 79 minutes, assisted by substitute Chloe Kelly. Two minutes later, Michelle Agyemang followed suit, taking the score to 2-2.

England goalkeeper Hannah Hampton (R) celebrates with teammates after the side beat Sweden. Pic: AP
Image:
England goalkeeper Hannah Hampton (R) celebrates with teammates after the side beat Sweden. Pic: AP

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Bronze’s penalty kept England’s hopes alive. Pic: Reuters

After a goalless extra-time, it was time for penalties.

Alessia Russo kicked things off, finding the back of the net for England, before Lauren James, Alex Greenwood, Beth Mead and Grace Clinton had their attempts saved by Sweden’s Jennifer Falk.

The game was sent into sudden death after Falk went face-to-face with England’s Hannah Hampton but sent the ball flying over the crossbar.

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Pic: Reuters

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Sweden
Image:
A devastated Sweden. Pic: Reuters

It all came down to Sweden’s seventh penalty after Bronze sensationally scored, with 18-year-old Smilla Holmberg missing the chance to send her team through.

England will next face Italy in the semi-finals in Geneva on Tuesday.

‘That was crazy’

England boss Sarina Wiegman described the action as “one of the hardest games I’ve ever watched”.

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Sarina Wiegman after the match. Pic: Reuters

“We could have been out of the game three or four times, when you’re 2-0 at half-time it’s not good,” she said after the match.

“Although we started really bad, at the end it got better, but we didn’t create anything so we had to change shape, and we score two goals – that was crazy.

“We miss a lot [of penalties], and they miss even more. I need to decompress, I think.”

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Hannah Hampton still delivered with one nostril down. Pic: Reuters

Goalkeeper Hampton added that it was “stressful watching” and “stressful playing”.

The 24-year-old, who was left with a bloodied nose in extra-time, said: “Every time I saved one, I was just thinking ‘please put it in, so we have a bit of a cushion!’

“To be honest, I think I was better in the game when I had one nostril than when I was completely fine!”

She said it was the support of the England fans that helped the team push on. She said: “They were definitely behind me and I appreciate all the support.”

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Michelle Agyemang reacts after levelling the game for the Lionesses. Pic: Reuters

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Sweden
Image:
Pic: Reuters

Pressure was on the Lionesses after they won the tournament in 2022.

Their journey in the group stages started with a 2-1 defeat to France, but hopes were lifted after England sailed past the Netherlands and Wales to reach the knockout stages, finishing second in Group D.

Read more from Sky News:
Child dies after coach crashes in Somerset
Sixteen and 17-year-olds will be able to vote in next general election

Sweden on the other hand went into Thursday’s game unbeaten in the tournament so far, having already defeated Germany, Poland and Denmark in the group stages.

Continue Reading

World

Lionesses went from sloppy to celebratory in nerve-shredding euros quarter-final

Published

on

By

Lionesses went from sloppy to celebratory in nerve-shredding euros quarter-final

By the time Hannah Hampton appeared in the news conference, the England goalkeeper was relieved, ecstatic and wanting to share this night far and wide.

So when her phone started ringing with a FaceTime call, she broke off speaking to the media about reaching the Euros semi-finals to answer it.

And then share the call with the room in Zurich.

After such a nerve-shredding night, this was the moment to relax and just savour it all.

Savour how close they came to throwing it all away against Sweden before staging a stirring comeback inspired by Lucy Bronze.

The 33-year-old scored the goal that began the fightback with 11 minutes to go and converted England’s final penalty in the shootout.

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Lucy Bronze converted England’s final penalty. Pic: Reuters

“Lucy Bronze is one of a kind,” England manager Sarina Wiegman said. “It’s that resilience, that fight. I think the only way to get her off the pitch is in a wheelchair.”

The Lionesses looked down and out, 2-0 down after 25 minutes.

Completely outplayed. A defence run ragged. Just too sloppy.

“We said at half-time we don’t want to go home,” Hampton said. “So it’s up to us to turn the game around.”

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Things were not looking good for England by half-time. Pic: Reuters

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
But the team managed to turn things around. Pic: Reuters

That only came after Wiegman deployed the substitutes the manager calls “finishers”.

They fulfilled their mission.

“Sweden in that moment had to adapt to some different things in the game,” Wiegman said, “before they could, it was 2-2.”

Within seconds of coming on, match-winner Chloe Kelly showed the missing spirit. The spirit that saw her score the Euro 2022 winner.

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Sweden
Image:
Pic: Reuters

A creator of two goals in 103 seconds.

A cross headed in with 11 minutes to go by Bronze – the only player still playing from the Euro 2013 group-stage elimination.

It was a lifeline seized on so quickly.

Another cross from Kelly was this time brought down by Beth Mead before Michelle Agyemang.

The timeliest of goals from the teen – a first tournament goal on her third appearance as a sub.

Soccer Football - UEFA Women's Euro 2025 - Quarter Final - Sweden v England - Stadion Letzigrund, Zurich, Switzerland - July 17, 2025 Englan
Image:
Teenager Michelle Agyemang reacts after scoring England’s second goal in normal time. Pic: Reuters

But there would be the anxiousness of extra time to follow, unable to find a breakthrough.

So to the shootout that lasted 14 penalties between them.

Hampton said: “It was stressful watching and playing, I thought every single time when I saved one, ‘Please score and give us a cushion’. I feel so happy and relieved.”

Around Alessia Russo and Kelly scoring there were four England misses before Bronze converted England’s seventh and Sweden missed a fifth.

Read more:
How far has women’s football come since 1972?
Lioness star explains what ‘Proper England’ is

A frenzied 3-2 shootout win was complete.

“I can’t remember anything like this,” said Wiegman, who has only reached finals in her four tournaments with the Netherlands and England.

“I thought three times we were out,” she said.

But instead it’s off to Geneva for the European champions for a semi-final with Italy.

They’ll be hoping it’s less of a struggle, less dramatic – while just glad to have made it there.

Continue Reading

Trending