Credit Cards For Less Than Perfect Credit

The head of the Federal Treasury says it would be difficult to implement laws which regulate interest rates whilst having an independent central bank that was responsible for monetary policy.

Earlier in the week Joe Hockey, shadow treasury spokesperson suggested that the treasurer should legislate to ensure that lenders do not raise their interest rates higher than any hike enacted by the Australian central bank.

Ken Henry, the Treasury secretary told a senate hearing that the practice of regulated interest ended in 1986, and that since then, the Reserve Bank of Australia sets monetary policy.

Treasury secretary Ken Henry told a Senate estimates hearing that regulated interest rates ended in 1986, and monetary policy since has been set by the RBA.

“It would be rather difficult to have a central bank independently operating monetary policy through interest rates at the same time another body – the government – regulating those interest rates, It doesn’t sit too well together.” Dr Henry said.

Dr. Henry rec

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A leading Australian economist says he believes that interest rates will continue to rise over the coming year, and that the trend of tightening interest rates is proof of a robust economy.

Chris Richardson, director of consultancy Access Economics, says that last week’s unemployment data were a testament to the strength of the Australian economy, but also meant that interest rates were likely to rise.

Mr. R

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Ignoring threats by the banking industry that further legislation will hurt consumer credit, Senate Democrats moved to limit credit card interest rates and proposed additional restrictions on card issuers. Passing in committee by 12-11 votes, the Credit Card Accountability, Responsibility and Disclosure Act of 2009 is even more comprehensive than the rules adopted by the Federal Reserve in December. In addition to prohibiting interest charges on late payments or for exceeding credit limits, the Act would also require card issuers to disclose how long it will take to pay off a balance if only the minimum monthly payment is made and that statements be mailed at least 21 days before the payment due date.

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