Feds May Crack Down on Credit Cards -- Eventually

Federal officials have promised to take action against banks and credit-card companies that use over-the-top tactics to sap consumers' cash. But the banking industry -- and government officials themselves -- may stand in the way of quick reform.

Congress is considering legislation that would make changes to interest rates, fees, billing, payments and disclosures. Federal banking regulators have proposed a narrower set of rules to protect consumers from overdraft fees, sudden interest-rate hikes and a practice known as "double-cycle billing," in which a company charges interest on debt that has already been repaid.

Consumer advocates, who have been pushing for tighter credit-card rules for years, are hopeful that the economic climate will push reform. In an election year, with lending practices under a harsh spotlight, it's tough for legislators to support the banking industry over consumers. ...