Regulation

WASHINGTON — A sponsor of legislation to ease the impact of interchange rules on banks announced another revision Tuesday as lawmakers prepare for a vote later this week.

WASHINGTON – Chief sponsors of a bill to delay the cuts in debit fees were still searching for a compromise this morning as they appeared to be short of the 60 Senate votes necessary to pass the delay.

As credit card charge-off rates continue on a path to hit record lows next year, the number of consumers seeking credit-counseling help also is declining.

WASHINGTON – U.S. Public Interest Group, the leading consumer lobby on Capitol Hill, called on lawmakers to reject efforts to delay implementation of the cuts in debit fees, saying the issue has been studied long enough and the cuts will help consumers.

The Federal Trade Commission has settled two actions that charged marketers with claiming they could reduce consumers’ credit card interest rates. Both operations allegedly made deceptive telemarketing calls, called consumers on the Do-Not-Call Registry, and used illegal robocalls. The settlements will ban all of the defendants from selling debt relief services.

The National Retail Federation launched radio campaigns in several states Tuesday to urge senators to oppose the delay of debit card interchange caps.

The Federal Trade Commission has settled two actions that charged marketers with claiming they could reduce consumers’ credit card interest rates. Both operations allegedly made deceptive telemarketing calls, called consumers on the Do-Not-Call Registry, and used illegal robocalls. The settlements will ban all of the defendants from selling debt relief services.

With an estimated $541 million in unpaid debt, the Los Angeles City Council this week created a position that will be held responsible for deciding whether debts should be placed into collections or if they should be charged off.

West Virginia Attorney General Darrell McGraw has filed suit to ban Morgan Drexen Inc., a company claiming to provide debt settlement services, from doing business in the state.

For $410 million, Bank of America Corp. has bought itself out of a massive class action over sorting of overdraft fees (see story).