This was a year of suprising moves from credit card issuers, big promises from politicians, Fed crackdowns, and more. Get the top news stories from 2008.
The Federal Reserve Board made dramatic changes to the rules of the lending industry. For starters, credit card issuers have to give more advanced notice before increasing your interest rate. Lenders are no longer allowed to increase interest rates for existing balances.
American Express cardholders were furious to find out their credit limits had been cut by nearly thousands of dollars. Even worse, this happened to long-time cardholders with good credit scores.
Citibank reneged on a promise not to increase cardholders' interest rates and doubled rates for many cardholders. As with the American Express credit limit cuts, Citibank didn't hold back for its best customers. Even cardholders with good credit scores and payment histories saw increased interest rates.
he United States Debt Clock was constructed in 1989 when the country's debt was only $2.7 trillion. When the debt topped $10 trillion in September 2008, the dollar sign ($) had to be moved to make room for the extra digit. A new clock is in the works and will hold up to quadrillion dollars of debt. That's a 1 with 15 zeroes behind it.
If being harassed by debt collectors wasn't bad enough, companies began outsourcing debt collection to India. At one point in time, collectors were told to ask debtors for their tax rebates to pay off debts.
Eleven people stole 41 million credit and debit card numbers by hacking into the computer systems of several large retailers. The thieves either sold the stolen credit card numbers or used the information to withdraw money from ATMs and make purchases.
In "Operation Clean Sweep" the FTC cracked down on 33 credit repair agencies who violated federal laws by falsely promising consumers to remove accurately reported information from their credit reports.
During his campaigning, Barack Obama promised make bankruptcy filing easier for the military, disaster victims, homeowners, and senior citizens. Once he takes office, we'll see if his plans come to fruition.
When gas prices were at their peak, gas stations, hit with high transaction fees from credit card companies, threatened to stop taking credit cards on gas-only transactions.
As if FICO scores didn't have a large enough impact on your life, many doctors now want to see your credit score to predict whether you'll pay your medical bills. They claim the score won't be viewed before you receive services, so it shouldn't impact whether you receive service or the quality of service you receive.
