The New York Times had a followup editorial on October 20 to their earlier article on dental and medical card abuses. See my blog post of October 19, 2013. The editorial recommends strong regulatory action to curb the abuses, so that financial companies don’t “continue to gouge consumers at their most vulnerable moments, when they are in pain and need medical attention.” The editors note that several civil lawsuits have been brought by state authorities for consumers. The agreement with New York State’s attorney general, Eric Schneiderman, requires CareCredit “to give users in New York a clear description of the interest rate that could ultimately be charged and how to avoid it, a three-day cooling off period to change their minds after signing up, and an appeals process for disputed claims.”
This is a good step. But the editorial takes this a step further, stressing that the problem calls for a national solution. It recommends that the federal Consumer Financial Protection Bureau investigate medical and dental credit problems and issue strong rules to protect consumers in all states. This is an even better step.