By Nate Raymond (NS:)
(Reuters) -A federal judge in Texas declined on Friday a demand by the Consumer Financial Protection Bureau to lift an order that has obstructed a brand-new U.S. policy topping credit card late costs at $8, a policy challenged by service and banking groups.
U.S. District Judge Mark Pittman in Fort Worth decreased to liquify an injunction he released in May that disallowed the guideline – part of Democratic President Joe Biden’s administration’s morecomprehensive crackdown on “junk costs” – from taking result.
The guideline would block card companies with more than one million open accounts from charging more than $8 for late charges unless they can show greater costs are essential to cover their expenses.
In asking the judge to review the injunction, the CFPB stated the action had rested completely on an appeals court’s judgment stating the company’s financing structure unconstitutional – a choice consequently reversed by the U.S. Supreme Court.
But Pittman concurred with groups consistingof the U.S. Chamber of Commerce and the American Bankers Association that had tooklegalactionagainst to obstacle th