Credit Card Losses and Credit Scores

[Miss Marty]

The Coronavirus Pandemic threatens Billions
in credit card losses for banks & credit unions

Do you think that banks and credit unions should reduced or limit credit card usage during these unusual times as the coronavirus pandemic shutter`s businesses and more people are on limited income and/or unemployed & unable to make payments.

On, March 18, 2020 two members of the Senate Banking Committee introduced a bill which would protect consumer credit scores during the Covid -19 pandemic. Anyone know if the bill passed?

 

[am1]

I would. Very easy for people to run up a huge balance. Credit scores should change as seen fit by the credit scoring companies. Anything less and they may as well stop being used by lenders.

 

[VacationForever]

Do you think that banks and credit unions should reduced or limit credit card usage during these unusual times as the coronavirus pandemic shutter`s businesses and more people are on limited income and/or unemployed & unable to make payments.

Nope. I have been buying lots of stuff online using my credit card. I just spent $400 today, $250 yesterday etc... Being able to use credit card is a separate problem from making payments. If you tie the 2 together then it is an issue for folks who have no issue in paying off the charges in full each month.

The problem is that credit card companies are sometimes too liberal in granting credit cards with high limit to applicants.

Heck, my combined credit limit of my cards is more than $200K. If I use them all at the same time, I won't be able to pay off the balance. My combined limit should probably be closer to 10% of that.