Biden’s Junk Fee Focus: A Diversion from Soaring Inflation?
Clear Facts
- President Biden’s crackdown on “junk fees” is seen by experts as a diversion from more pressing economic issues such as high inflation.
- The Consumer Financial Protection Bureau has reduced the cap on credit card late fees from $32 to $8, a move that is unlikely to save Americans money in the long run, according to experts.
- Despite the administration’s focus on “junk fees”, inflation under Biden has peaked at 9.1% and overall prices have risen 18% since he took office in January 2021.
President Biden’s recent focus on “junk fees” has been met with skepticism by experts, who view this as a diversion from more pressing economic issues, such as the high inflation rate. The Consumer Financial Protection Bureau’s recent decision to lower the cap on credit card late fees from $32 to $8 is unlikely to bring significant long-term savings for Americans, according to these experts.
Michael Faulkender, chief economist at the America First Policy Institute, stated, “The administration is looking for any and every way possible to deflect responsibility for the 40-year high inflation that the American people incurred resulting from Biden’s massive increase in government spending, financed by the largest deficits our nation has ever seen outside of a national emergency.”
Inflation under Biden peaked at 9.1% in June 2022 and has since failed to drop below 3%. Since Biden took office in January 2021, overall prices have risen by 18%. This high inflation has led the Federal Reserve to increase its federal funds rate to between 5.25% and 5.50%, the highest rate in 23 years, which has put upward pressure on interest rates across the economy.
Many economists attribute the skyrocketing inflation, at least in part, to high government spending under Biden. The president signed the American Rescue Plan in March 2021, which authorized $1.9 trillion in new spending, and the Inflation Reduction Act, which authorized another $750 billion.
Alfredo Ortiz, CEO of Job Creators Network, stated, “As with ‘shrinkflation,’ President Biden is focusing on ‘junk fees’ to distract from the historic inflation that his bad policies have caused.”
Despite the administration’s focus on these fees, other ways that companies profit, such as through raising fees, prices, or interest rates, have not been capped or changed, according to USA Today. This suggests that institutions could simply recoup lost revenue through these means.
Biden recently announced a task force aimed at reducing prices, claiming that corporations are exploiting consumers through junk fees and price gouging. The White House asserts that this plan will save Americans more than $20 billion in junk fees by cracking down on bank overdraft fees, airline fees, and more.
However, Faulkender argues, “The American people see through this pathetic scapegoating and know that the inflation was the direct result of Bidenomics.”
The Biden administration has been blaming poor economic factors on a variety of issues, most recently attributing inflation to corporate greed through “shrinkflation,” where companies reduce product sizes instead of raising prices. The White House did not respond to a request for comment on these issues.
Clear Thoughts (op-ed)
President Biden’s crackdown on “junk fees” is nothing more than a smokescreen to divert attention from the real economic problems facing our nation – namely, the soaring inflation rates under his administration. Experts have pointed out that the recent reduction in credit card late fees will likely have little to no impact on Americans’ financial well-being in the long run.
As chief economist Michael Faulkender rightly pointed out, the administration is desperately trying to deflect responsibility for the 40-year high inflation that has resulted from Biden’s reckless government spending. Inflation has skyrocketed since he took office and shows no signs of slowing down.
Instead of addressing the root causes of our economic woes, the Biden administration is resorting to gimmicks like targeting “junk fees” and “shrinkflation.” The American people, however, are not easily fooled. They recognize that the real issue lies in the administration’s failed economic policies, which have led to increased government spending and the highest inflation rates in decades.
It’s time for the Biden administration to focus on the real issues at hand and stop playing the blame game. The American people deserve better than empty gestures and distractions.
Let us know what you think, please share your thoughts in the comments below.
Frank
March 15, 2024 at 6:51 pm
We need to have President Trump return to the position of POTUS, WE NEED SIXTY SEATS IN THE SENATE And 325 seats in the house. Accomplishing this will restore the Us economy to health and security.
bill slurff
March 15, 2024 at 6:58 pm
I wonder if Biden or the democratics really think this will mean that much to the credit card companies. If you have good credit and happen to miss a payment it is no that hard to call them and explain why, and they usally will forgive you. With over 1 trillion dollard owed on credit cards and interest rates as high as 35 percent the people who miss payments are those with high balances and already paying more than they should. I Biden thinks this will help he is way out of touch with what is happening.
Go Woke Go Broke commie joe
March 15, 2024 at 8:33 pm
Listen up commie joe nothing you can do to the fact you know squat about your bidenomics failure this new crap ain’t going to cut it either the American people know your commie little tricks and their now exposed for all to see your the loser nobody in American wants your sorry ass or that failure veep to run your pathetic losers! The truth is coming out about what really happened on Jan 6 and it’s looking really bad for you and that phony pathetic lying cheating committee DC police have stepped forward claiming what the fake committed claimed was all a lie your leftist fang lying regime is falling apparent innocent people are in jail based on a leftist federal racist judges opinion your gestapo thugs were the real cause of what happened that day your liars are falling apart recanting everything! And we the people know why your allowing all these criminal illegal aliens into the country fake unConstitional voting! And commie Biden say their names Sarah Hurt murdered by an illegal alien you allowed in, Laken Riley a student nurse that was brutally murdered by an illegal alien mayorkas won’t release the records on the murder technically make you and him culpable in her murder for withholding vital information accessory to murder biden and last but will never be forgotten a12 year old boy killed in a head on car collision by an illegal alien who was clocked going 80 miles an hr in a 40 mile an hour zone and the illegal did not have a drivers license and injuring others in the vehicles, The Blood of these Innocent Young People IS ON YOUR HANDS right along with the 13 American soldiers Who YOU let Die in Afghanistan! Your the murder of the innocent commie joe and your selling America out to commie china the very corrupt UN we the people wii abide the the Second Amendment to the United States Constitution not a bunch of hate America foreigners these people are here only as guests of America only and to try and sell out America is High Treason do you really want to go their biden!
The innocents blood is on you biden
March 15, 2024 at 9:48 pm
So biden America is on to your leftist junk fee crap it’s your sky high inflation that’s the problem and whatever moron in your leftist cabinet doesn’t know diddily about economics you can’t print more money if their ain’t non moron! And your lying ad you blame Trump for what you have caused under him the economy was great the southern border was in order we had no massive numbers of illegals coming into this country like we do under you this southern border CRISIS is your fault and the only one trying to stop this hemorrhaging your taking to court Governor Abbott has the right to protect its borders you fking won’t the whole country is is constant crisis mode because your a commie traitor now you going to try and steal this coming election by giving these illegal aliens the vote that right their says it all you are the criminal who does not live by the Constitution or the Rule of Law your the traitor and destroyer of this once great country now because of you and your moron veep we the United States of America that used to be number one in the world are now the laughingstock on the world stage stage every government thinks your a pathetic loser, look what you did in Afghanistan 13 Americans needlessly died because of you, Have you ever said their names those soldiers that You left behind Say Their Names Coward biden and the 3 young people who died at the hands of your illegal aliens 2 young women murdered by this garbage and mayorkas refuses the release the information about the illegal to the authorities in Georgia that’s criminal right their, Then theirs the 12 year old boy who died when his parents car was hit head on by an illegal alien who was driving at 80 miles an hr in a 40 mile an hr zone with No Drivers license Say Their Names Commie joe you won’t because it was illegals that killed these 3 young Americans Live with this Fact commie joe the Deaths of the 13 soldiers and these 3 young people THEIR BLOOD IS ON YOUR HANDS murderer! And FYI Trump would NEVER have allowed these murders to happen like you did commie sympathizer joe! Karma she come for you!
The innocents blood is on you biden
March 15, 2024 at 9:54 pm
So biden America is on to your leftist junk fee crap it’s your sky high inflation that’s the problem and whatever moron in your leftist cabinet doesn’t know diddily about economics you can’t print more money if their ain’t non moron! And your lying ad you blame Trump for what you have caused under him the economy was great the southern border was in order we had no massive numbers of illegals coming into this country like we do under you this southern border CRISIS is your fault and the only one trying to stop this hemorrhaging your taking to court Governor Abbott has the right to protect its borders you fking won’t the whole country is is constant crisis mode because your a commie traitor now you going to try and steal this coming election by giving these illegal aliens the vote that right their says it all you are the criminal who does not live by the Constitution or the Rule of Law your the traitor and destroyer of this once great country now because of you and your moron veep we the United States of America that used to be number one in the world are now the laughingstock on the world stage stage every government thinks your a pathetic loser, look what you did in Afghanistan 13 Americans needlessly died because of you, Have you ever said their names those soldiers that You left behind Say Their Names Coward biden and the 3 young people who died at the hands of your illegal aliens 2 young women murdered by this garbage and mayorkas refuses the release the information about the illegal to the authorities in Georgia that’s criminal right their, Then theirs the 12 year old boy who died when his parents car was hit head on by an illegal alien who was driving at 80 miles an hr in a 40 mile an hr zone with No Drivers license Say Their Names Commie joe you won’t because it was illegals that killed these 3 young Americans Live with this Fact commie joe the Deaths of the 13 soldiers and these 3 young people THEIR BLOOD IS ON YOUR HANDS murderer! And FYI Trump would NEVER have allowed these murders to happen like you did commie sympathizer joe! Karma she come for you! Your a Leftist rag like biden
Cynthia Brown
March 19, 2024 at 10:26 pm
Amen truth
DNA is the gender bender
March 15, 2024 at 10:07 pm
Be afraid crystal clear be very afraid because I like speaking my mind especially about leftist and what they can’t handle for example: The only reason their allowing this trans ideology is because it will make for a great circus show for the elites left the foolery begin! Science says you cannot change your DNA no matter how many hormones you take if you were born a man live with it if not join the leftist circus like they had last Easter at the WH I read that was a full blown side show act apparently these trans did a great deal of exactly what The elitist wanted! Men can’t and never will be a woman your DNA proves it!
inyoface
March 16, 2024 at 12:08 am
As Bill stated if you have good credit, you can be forgiven for occasional mistakes. But credit cards aside, the REAL COST is INFLATION, everything cost’s more.Every time the government uses their credit (it prints money which we pay for) and that raises prices and that’s inflation. Every time the government creates more regulation’s or raises taxes that causes inflation. Companies pass on their added cost’s of doing business or reduce product sizes (shrinkflation) just to stay in business.All these affect everyone that consumes anything through credit or not. As government grows, freedom recedes. Vote these BUM’S out in November, or expect things to get WORSE.And 2024 could be the LAST TIME we will get to vote if things keep going the same way.
Randolph Joseph Miller
March 16, 2024 at 9:17 pm
The article is trying to relate two issues (fees and inflation) for no reason. It’s this op/ed “article” that’s dumb.