Considering that many people don't understand interest, and credit card companies do engage is some pretty deceptive advertising, I think some regulation wouldn't hurt. I'm not in favor of limiting interest rates for a number of reasons, I think the market should do that. However, I feel that card companies should be forced to state all their terms up front in plain language.

Certainly if they did that, there might be some competition among cards by interest rate. Maybe some card companies would tighten their standards to keep their rates low, and not extend credit to those that would abuse it.

The bankruptcy question is difficult. Really, going bankrupt has little downside if you are already irresponsible. You get to walk away from your high debt with your car and house. The rest of us get to pay for it with high interest rates. Making bankruptcy laws tighter might stop this. More than likely though, credit card companies will just extend credit to ever more marginal people, knowing they have more to threaten them with.

George