|
|
Article: Banks asking for credit card forgiveness
- Article from:
- Telegraph - Herald (Dubuque)
- Article date:
- October 31, 2008
- Author:
CopyrightCopyright 2008 Telegraph - Herald (Dubuque). Provided by ProQuest LLC. (Hide copyright information)
|
WASHINGTON (AP) - With defaults on credit card debt spiraling
amid a global financial downturn, banks already reeling from the
mortgage crisis are losing billions more from unpaid credit card
bills.Big banks have formed an unusual alliance with consumer
advocates to urge the government to allow huge portions of credit
card debt to be forgiven, a turnabout from recent years when the
banking industry lobbied strenuously to make it harder for consumers
to erase their credit card debts in bankruptcy.The new pilot program
- which the banks hope will become permanent - could involve as many
as 50,000 people struggling with credit card debt. On an individual
basis, the amount of debt to be ...