Perhaps A Dumb Question Re: Credit Cards.......

[global1]

do the credit card companies function the same way outside the U.S. as they do in the U.S.? Do they use the same rules for usage? The same interest rates? The same late payment penalties? etc Or do the governments of other countries put constraints on them that we as a government here in the U.S. don't.

I'm asking this out of curiosity. I'm wondering if the U.S. is carrying the financial burden of the rest of the world - like we do with pharmaceuticals. You know - we pay more for our drugs here than in other parts of the world. I was just wondering if it worked the same way for credit cards?

[Ozymanithrax]

1. Each nation has laws that deal with credit issues.

So, no, the don't work exactly the same way. Since your accounts are here in the US, you will be under the umbrella of US Law if you travel.

[Statistical]

2. Max interest rates, terms, penalties, etc are all regulated.

So they are regulated by the States and/or countries of the origination bank.

I only have one atencdotal piece of evidence. My cousin from Finland was shocked by credit lines in the US.

He has a credit card with 1000E limit and he said that is common. Most are in the couple thousand E range at most.

Having middle class person with a $20,000, $50,0000, or even $100,000 in credit card limits doesn't commonly happen in Finland.

[depakid]

6. Banks also :gasp: regulate themselves according to prevailing values and notions of propriety

[Dreamer Tatum]

3. It's very similar, and in some cases much worse in terms of their ability to harass.

BUT, few countries use consumer credit the way we do. There are still countries where revolving credit use is not very common.

[RaleighNCDUer]

4. like we do with pharmaceuticals

Do you REALLY believe the pharma companies' schtick about why we have outrageous prices?

In other countries, pharma is right-priced. Here, we are being soaked because our laws let them get away with it. It is NOT due to us absorbing the development costs - most of those are absorbed by the government in the first place, through research grants paid by our taxes.

The question is, are credit card companies getting away with gouging their customers overseas as much as they are here, or are credit card companies screwing the US public in the same way the pharma companies are, while being forced to comply with rational regulation overseas?

[MiniMe]

7. Well, somebody has to pay for all the TV ads.

[global1]

8. That's Exactly Why I Asked The Question.....

are we letting the credit card companies get away with gouging us?

[RaleighNCDUer]

10. I may have misunderstood - it sounded like you thought the pharma

companies were justified in their high prices, and by making that comparison it implied the CC companies were also justified. I don't believe reality justifies either, and both are just gouging us because they can, being cartels that fix the prices.

[jdlh8894]

5. Credit Cards are issued by banks

When you were issued the card,it should have all conditions and fees (even out of country) written in the agreement. Read your contract.

[global1]

9. I'm Not Concerned About Me Using My Card In Europe - The Question Is......

really - do other countries regulate their credit card companies different than we do here? It seems to me that we are being taken advantage of by the credit card companies - raising interest; late fees; time to pay; etc. I was wondering if people in other countries have to deal with the same crap we do with their credit card companies - or do their governments reign in the credit card companies and not let them get away with the same crap.