Credit Card Debt and Regulatory Measures Quiz

What triggered the chain reaction of fees for Elizabeth Blascruz?

• An overdraft on her debit card

• A bounced check

• A late payment on her credit card

• A missed mortgage payment

What significant legislation was passed to address credit card fees?

• The Banking Reform Act

• The Fair Credit Reporting Act

• The CARD Act

• The Consumer Protection Act

What was one of the main criticisms of the CARD Act by banking industry groups?

• It caused a decrease in credit card usage

• It led to higher interest rates and annual fees

• It increased consumer spending

• It reduced the number of credit card issuers

According to Neale Mahoney's study, how much did the CARD Act save consumers annually?

• $5 billion

• $11.9 billion

• $20 billion

• $15 billion

What is the current all-time high of American credit card debt as mentioned in the text?

• $500 billion

• $1 trillion

• $750 billion

• $1.5 trillion

What new rule did the Consumer Financial Protection Bureau propose regarding late fees?

• Allowing banks to set their own late fees

• Doubling the late fees

• Capping late fees at $8 for the first month

• Eliminating late fees entirely

What was a significant reform left out of the CARD Act?

• Capping annual fees

• Limiting overdraft fees

• Restricting credit card offers

• Regulating interest rates

What is the typical overdraft fee charged by banks per transaction?

• $35

• $15

• $20

• $50

Which senator supported the Stop Overdraft Profiteering Act?

• Sen. Mitch McConnell

• Sen. Elizabeth Warren

• Sen. Kamala Harris

• Sen. Bernie Sanders

What did the CARD Act primarily aim to regulate?

• Late fees and over-the-limit fees

• Interest rate caps

• Credit card rewards programs

• Credit card marketing strategies