NSBA President Joins Congressional Leaders in Calling for Credit Card Reform <br>Contact: Molly Brogan 202-552-2904 Washington, D.C. – NSBA President Todd McCracken joined Sen. Charles Schumer (D-N.Y.) and Rep. Carolyn B. Maloney (D-N.Y.) at a press conference today announcing introduction of the Credit Cardholders’ Bill of Rights. NSBA has been an outspoken advocate for credit-card reform, and urges lawmakers to support small business by cosponsoring the bill. According to the NSBA 2008 Year-End Economic Report released this week, nearly half (49 percent) used credit cards in the past 12 months to finance their business—up 20 percent from just four months ago. Despite small-business owners’ increasing credit-card usage 69 percent reported that the terms of their credit cards are worsening. “We are now seeing the effects of a tight credit market on small-business owners who have had to make dramatic job cuts in recent months,” stated Todd McCracken, NSBA president. “With so many businesses relying on credit cards, this very doable bill is a critical piece of legislation that should be addressed now.” The legislation will ban many of the most unfair, deceptive and anti-competitive practices of the credit-card industry including universal default, double-cycle billing, and retroactive rate hikes unless a cardholder is more than 30 days late in paying. Although regulations have recently been approved that will curb some of these practices, the rule doesn’t go into effect until July 2010, and small businesses need help now. “This bill stands to significantly help small businesses,” stated Keith Ashmus, NSBA chair and Cleveland-area business owner. “In this difficult economic climate, I certainly hope all the talk we heard during the 2008 election cycle about the importance of small business isn’t just lip service.” NSBA applauds Maloney and Schumer for their support and leadership and is pleased to support the Credit Cardholders’ Bill of Rights. NSBA urges lawmakers to support this proposal as a very tangible way to ease the significant challenges facing America’s small businesses. Since 1937, NSBA has advocated on behalf of America’s entrepreneurs. A staunchly nonpartisan organization, NSBA reaches more than 150,000 small businesses nationwide and is proud to be the nation’s first small-business advocacy organization. For more information, please visit www.nsba.biz ### |