Dear Liz: We keep hearing about credit card companies imposing exorbitant interest rates. Are there no more usury laws? How do they get away with it? The recent credit card consumer legislation is just a slap on the hand.

Answer: You’ve dated yourself just by using the word “usury.” The short answer is that no, there are no longer effective laws limiting the interest rates credit card companies can charge. A U.S. Supreme Court decision in 1978 pretty much negated state usury laws.

The credit card reform act will limit when issuers can raise rates but does not cap them.

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