With the changing regulations on credit cards, banks are giving their card fees and rates a makeover. The latest bank to do that is First Premier Bank, which caters to the subprime market.
Previously the bank charged a whopping $256 in first year fees for a credit line of just $250. Incredible.
Now, due to changing regulations, they are capping their fees at the maximum allowed 25% of the credit line value but jacking the interest rate up to 79.9%. That would be $20 in interest per month on a $300 balance. Wow! This card will only be attractive the people with nowhere else to turn.
http://seattletimes.nwsource.com/html/businesstechnology/2010532431_apussubprimecreditcard.html