Simpler credit card agreement gets a tryout

Published December 7, 2011 by
Washington - President

WASHINGTON (AP) ? A new, simpler style of credit card agreement is getting a government tryout to see if it’s really easier to understand.

The independent Consumer Financial Protection Bureau is testing a prototype agreement that is shorter than most and written in plain language. The new card contract will be tried at the Pentagon Federal Credit Union, one of the nation’s largest credit unions.

The White House says a recent study shows about two-thirds of credit card users say they don’t completely understand their cards’ terms.

The announcement comes as the White House urges the Senate to confirm Richard Cordray to head the consumer bureau. Republicans have said they will block confirmation of anyone to head the agency until other regulators and Congress have more control over the bureau.

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