Members of the US House of Representatives apparently felt enough pressure from their constituents to take action in response to credit card companies’ decision to go into hyper-drive with interest rate increases and other consumer-unfriendly changes in the face of looming CARD Act restrictions.

The bill, which would speed implementation of many CARD Act provisions passed by a huge margin–331 to 92–in a Congress where it’s hard to be bipartisan about anything. Getting 83 Republicans on board is a pretty big deal these days!

New York Rep. Michael McMahon summarized the measure:

“Rather than curtailing their exploitative practices, many credit card companies implemented outrageous fees and interest rates in advance of the Credit CARD Act taking affect in February,” said McMahon (D-Staten Island/Brooklyn). “It’s unfair that some banks are trying to squeeze strapped consumers for additional revenue before the strong federal law takes effect. Moving up the date by which the bill’s protective provisions come into effect makes sense, especially with the holiday season approaching. American consumers should not be subject to these unconscionable practices one day more.”

So, we can all expect Washington to drop the hammer on card issuers sooner rather than later, right?  Not even close.  As I predicted not too long ago, there’s no way this bill or anything similar to it is going to become law.  In order for that to happen, the Senate would need to give it a nod–and that’s not happening.  In fact, there’s no reason to believe that the Senate will even consider voting on the measure.

It passed the house.  It gave representatives a chance to issue press releases to their hometown papers trumpeting their willingness to take a stand for the little guy.  And that’s where it’s going to end.  Mark your calendars for February, because that’s the earliest you’ll see anything happening.

Why is that the case?  Why is an idea that has so much support in the House a complete non-starter in the Senate?

Many in the Senate, traditionally recognized as the more deliberative unit of the legislative branch, feel that speeding up CARD regulations would be impractical.  The card companies were given a timetable for implementation in order to be ready for the new regulatory scheme.  Changing the rules in the middle of the game isn’t particularly fair (not that any of us are likely to cry over that or anything) and there’s a real question regarding the card companies’ ability to act within the new rules right now.  They were told they needed to be up to snuff in February and they’ve been planning based on that schedule.  Besides, there’s a reason why the Senate is often said to be more “bank friendly” than the House.

Some also worry that speeding the timetable would restrict credit access at just the wrong moment:

But a Senate vote on either Wednesday’s House-passed measure or Dodd’s freeze proposal was considered highly unlikely, The Associated Press reported, because of lingering concerns by many senators that the bill could restrict credit when Americans need it most.

While the hearts of Chris Dodd and Mark Udall, Senators who have proposed measures to curb card company rate increases, may be heartfelt, the House vote was undoubtedly as politically motivated than it was a legitimate effort to produce fast change.

With Congressional approval numbers in the tank, a good piece of what Udall calls “David vs. Goliath” legislation looks pretty good in terms of pacifying a furious voter base.

Additionally, as much as it pains me to quote Rep. Virginia Foxx, one of the craziest elected officials in the USA, her most recent conspiratorial rant may contain a grain or two of truth:

“They [Democrats] know this bill can’t go into effect by December, but they need something to keep us here this week because they are trying to twist arms to get the votes for the health care bill.”

Pick your reasons.  There are many from which to choose.  The bottom line?  The CARD regulatory measures aren’t coming until February.