WASHINGTON (CN) – As the House Financial Services Committee continues to mark up financial reform legislation, Massachusetts Democratic Chairman Barney Frank announced Tuesday that a heavily anticipated vote on a new consumer protection agency and credit card bill will be held later this week, either Wednesday or Thursday.
The committee is scheduled to vote on the Consumer Financial Protection Agency, which would extend regulation beyond the banking sector to cover all firms that play a critical role in the market and require more capital cushion behind investments.
The credit card amendment up for a vote seeks to implement the Credit Card Accountability, Responsibility, and Disclosure — CARD –Act in December, sooner the currently planned February of 2010.
Once the CARD Act takes effect, promotional rates will last at least six months, cardholders will have 21 days to pay from the time their bills are issued, and customers will be notified 45 days before changing the terms.
Companies will also be required to post their contracts online for easy government regulation
After Republicans asked for a delay on the provisions, Frank announced that consideration of measures to protect investors more and to increase oversight on credit rating companies will be taken up next week, along with a measure giving the government the power to shut down large failed companies.
The Barack Obama administration has proposed many of these measures and Obama has already signed the CARD Act into law.