Remember the days when a husband had to sign for his wife to open an account or get a credit card? Thank goodness we’ve moved on from then – or have we?
CNN Money reported on a demonstration that took place in Washington D.C. this weekend over what many consider a step back in time as a result of the new Card Act. Implemented in 2009 to stop predatory credit card practices, the rule requires individual incomes to be taken into account when issuing credit cards. The result is that a stay-at-home mom sometimes can’t qualify for a credit card because she doesn’t have her own declarable income. It doesn’t take into account that sometimes, with the cost of childcare, this is as much a smart financial decision as it is one to provide emotional support to a growing family.
A Virginia stay-at-home mom, Holly McCall, who was recently denied a credit card for this reason has organized a drive to have this rule overturned. According to CNN Money, she already has the support of more than 30,000 signatures on the petition on her site, Change.org. Included in those signatures are also some stay-at-home dads who also are impacted by the rule.
So what do you think? Is this rule necessary, especially in the light of the credit card mess that contributed to the 2008 financial meltdown? Or is it something that needs to be addressed by the Federal Reserve now?