Yesterday I received an offer from Barclays Bank offering a Visa Black Card for an annual fee of $495 and with a promise of a "generous credit line" with a minimum of at least $250. Banks will always find ways of fleecing credit card customers in one way or another.

Somehow, along the way, we have forgotten that credit card companies are a business like any other. Their job is to make money for their shareholders, period. While truly deceptive practices have to be stopped and very clear disclosures ought to be required, all of the other rules are ridiculous.

And to make a statement that the new rules don't really limit the card companies much shows a fair amount of ignorance of what the rules truly do and what that cost is to card companies.

To make the statement that those new rules won't then change how the business operates also shows some ignorance about business because the companies WILL figure out what needs to change to continue to make money.

Credit cards are a product like any other, not a right.

I have been a customer of a particular card for 17 years. Last week I received a notice that they were lowering all sorts of fees and penalties that were never an issue for me since I paid in full each month. In return, they were now going to charge an annual fee. I was forced to canceled the card to avoid the fee. Once again, those who follow the rules and act responsibly will be forced to subsidize those who do not.

I pay my credit card bills in full each month while getting 2% cash back each month via the Schwab Visa card.

When I hear banks saying they are going to raise fees for people like me and cut rewards for people like me I say, "go ahead, make my day."

The credit card business is a very competitive business and banks can and do make money off of those of us who pay in full each month.

When banks threaten and posture as they are doing right now, it's time to write your congressmen and congresswomen to let them know you want them to keep pushing the banks to end their (many) deceptive practices.

I think we are seeing what happens when you give everybody and their neighbors free credit with limits they do not qualify for. These credit card companies dug their hole just like the people who didnt pay their bills, now lay in it. What ever happend to doing good business and service.

I have AmEx's blue cash and got a notice last month that they were lowering part of their reward structure. So, companies are already reacting to the new legislation. They WILL get their money one way or another.

Missed in all this back and forth on the consumer end of the transaction is the **merchant** fee aspect and how much the convenience of using the CC affects their volume and profit. The other factor are those transactions that just don't happen without a CC (hotels, airfare, etc).

The last thing a merchant will want is a consumer who uses their brain while reaching for a way to pay for the goods.

Do I use cash and then find an ATM to replenish? Do I forego the purchase if I don't have enough cash? Do I pay a debit card fee instead? Do I dig out the checkbook again and use the CC for ID like we used to?

Brick walls are there for a reason:
they let us prove how badly we want things

Brad is correct. The credit card companies are in business to make money. Perhaps there's a reason they charge certain borrowers 29% interest? True, though, that greed probably results in teaser rates that "lull" people into borrowing too much money. Greed of the borrowers, of course, not the banks.

As often urged at the Cafe Hayek blog, those who think credit card practices are outrageous should start their own credit card. There are enough of you out there. Have a nice, low, 3.9% rate, no penalties for a few late payments, no fees, etc. Then see how you pay your employees to deal with the flood of customers coming your way. Could you even afford a "living wage"? And see what kind of your return you get on your investment. I have an idea of what it would be.