Senator Wyden Encourages Five Star Credit Card Rating

Senator Ron Wyden was at Southern Oregon University Thursday pushing a credit card bill he designed with Senator Barack Obama.

Senator Wyden held a round table discussion with S.O.U student to discuss credit card debt. Wyden says we need a law that regulates credit card companies so more people don't get caught up spending money they don't have. Wyden's plan, the Credit Card Safety Star Act, would place a five-star ratings system on each company. Five stars would indicate a clear and safe credit card agreement.

Wyden says it would eliminate the legal jargon that is difficult to understand- and instead spell out the facts, "If we can get this legislation passed so that we can lock in some fundamental safety principals some safety standards. Then we're going to have to look at a constant approach to educating people."

S.O. U student Brian Fox says credit card companies target young adults. Fox says there needs to be an easy way to identify when a company is trying to take advantage of you, "I think that its important to have some way to clearly convey to people really what terms of these are and what effect its going to have on them."

The Federal Reserve will be in charge of rating each credit card company. Wyden says he is sure the plan will work because it is very similar to the car safety rating system that is already in effect.