FED OPPOSES CREDIT CARD INTEREST RATE CEILINGS
The Federal Reserve Board opposed
pending legislation to establish ceilings on interest charged
by credit card companies.
    "The Board does not believe it would be appropriate to
impose a federal ceiling on credit card rates," Fed governor
Martha Seger told a Senate Banking Subcommittee.
    "Among other things a Federal ceiling could have undesirable
side effects in the form of reduced credit availability and
could lead to changes in non-rate credit card terms," she
testified.
 Reuter
