Credit Business

Under the Credit CARD Act, a key stipulation of the bill was one that insisted that credit cardholders demonstrate viability to pay for purchases (proof of income) before being approved for a card. This led to many financial institutions denying credit applications for stay at home moms and other individuals who did not have independent income. Previously, people could claim household income as a form of liability.

In the aftermath of its passage, many lawmakers have expressed concerns with this interpretation, stating that the original scope of the law was not intended to target these individuals. Nevertheless, without the financial agency being officially online for nearly four years, financial institutions’ hands were tied in terms of acting otherwise.

The new guidelines