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"Reduced competition would drive up financing costs for consumers, limit financing options and reduce credit availability".
Bankers say that credit card companies have no choice but to reduce credit to small businesses.
Why, after all, should one's credit score be harmed by taking steps to reduce credit?
It began to examine the charges in 2006 after a successful campaign to reduce credit card penalty fees.
"It will reduce credit volume by a small amount -- not much compared to the overall volume," he said.
A bank can reduce credit exposure either for an individual loan or a sectoral concentration, by buying a credit default swap.
Similar(31)
Since a biometric marker like a fingerprint could also be used to reduce credit-card fraud at stores, the companies would presumably have a strong financial incentive to keep ahead of forgers.
But few analysts expect a further sharp rise in inflation or policy tightening in coming months as China faces a weak global environment and Beijing tries to reduce credit-fueled investment.
By reducing credit availability national central banks can contravene the euro zone's wider monetary stance.
Their potential contributions to reducing credit risk are evident from the example of ZestFinance.
To be sure, there are some positive signs, like reduced credit spreads, gross domestic product growth and diminishing job losses.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com