discusseslmes norton funding for the $2 billion and for structure deal between the white house and congressional democrats. he sure to watch c-span's at 7ington journal," live a.m.. join the discussion. >> this is our weekly segment about your money. today, we will talk about credit cards, specifically interest and did a proposal that is out there for more the presidential candidates. we are joined from austin, texas, but not schulz, chief industry analyst for compared card.com. good morning. explain what compare card is all about. is a marketplace where people can come and shop for a new credit card of all kinds. they can also find information on how to smartly acquire those cards. quire

wisely. >> and then also how to use them. >> how are you funded? are you supported by the credit card industry. --basically, compared hard compare cards, gets a bounty, whenever a credit card is compared on our site. we have relationships with a lot of big banks. we have a separate editorial operation that i am a part of, where we have a similar church and state divide. >> to the topic at hand, bernie sanders, the senator and presidential candidate and alexandria ocasio-cortez, the u.s. representative from new york have a plan. they want to reduce credit card rates to 15%. here's an article by senator sanders. banks have been ripping people off for too long, i have a plan to end it.

is you explain what his plan about and that being supported by alexandria ocasio-cortez? what they are trying to do is put a cap on the interest rates that credit cards can charge. right now, the only credit cards that have a rate cap in this country our credit union credit now, that'sight cap, by federal law, that said that cap at 15%. in's make sections to where the national credit union board can, under certain circumstances, race that cap about 15% if it feels like it is necessary for the financial soundness of the credit union can'tasically, that rate -- cap has been at 18% for 30

years. basically, i was on cortez and mr. sanders are basing this rate cap on the original letter of the law and not necessarily on where rates stand at the moment. the -- the rate cap is 20 -- 18%. >> we want our viewers rate on this proposal. we will do two phone lines for this segment. if you live in eastern schedule time zones, call 202-7 48-8000. 202-8001.e zones, perspectivee your on the credit card usage and experian,, they are one of the credit agencies,

credit -- total debts on credit cards is $800 billion. the average number of credit cards for each of us is about three. the average balance is about $4200. the number of delinquent cardholders is over 30%. matt schultz, when he get more on your take on these ideas, but is here from senator sanders on his proposal. atright now, you are looking a median of the card interest rate of over 21%. that means half of the american people make more than that. if you are earning $10 and arrow , you will be paying 25% interest rates. you go to macy's or kohl's, and a large department store and they say, get our credit card.

you get their credit card. what you don't know is that you will be paying like 27% on those. 27%. how much to the banks borrow money? they borrow money from the fed they chargethen people 18-20-20 5% interest. the poor you are, the more desperate you are, the higher the interest rates are. sanderswas senator joined by representative oppressive cortez for that commentary. he put it in strong figures. 2.5% to borrow, then lending it out much higher. what does the baking industry think of this proposal? the banking industry is not a big fan of it. there is a lot of speculation cap were to 15% come into play, you would see an

extreme tightening of credit, almost immediately. the thought is that because of the way banks and credit card companies price credit cards, because of the risk of the borrower, it would be difficult for banks to continue to make money off of credit cards. with a 50% interest rate. to get to senator sanders' court -- point, he is right, the median is 21%. anyone was applied for a credit card in the last few years has box in boldn that type that has a range of interest rates, sometimes at the bottom, 15%, but the top, it is 25%, depending on your

creditworthiness. the banks do that in order to credit themselves from losses, where people who don't pay their money back, but one of the things that could end up happening, if a rate cap like this, that instead of having that risk based pricing, those ranges, they might end up being where everybody gets charged the same rate, regardless of your creditworthiness. >> here is more than the american bankers association. they write "consumers benefit from a highly competitive and vibrant credit market. it would be that mistake for the government to artificially limit those choices. this proposal will harm consumers by restricting access to credit to those who needed the most and driving them toward less regulated, more cost alternatives. " >> c-span's "washington

journal," live every day with news and policy issues that impact you. coming up tuesday morning, republican senator tom carton from arkansas discusses his book "sacred duty: a soldier store at ellington national cemetery." sarah pierce of the migration policy institute talks about president trump's merit-based approach to immigrant visas. the ricotta delicate from washington dc emma eleanor holmes norton, discusses funding for the $2 trillion infrastructure deal between the white house and congressional democrats. be sure to watch c-span's "washington journal "washington journal," >> washington journal mugs are available at c-span's new online store. check out the washington journal mugs and check out all of the c-span products. >> coming up tonight, a recent hearing on the h.i.v. prevention

drug and then later, president trump holds a rally in pennsylvania as part of his 2020 re-election campaign. next, a house oversight hearing on the previousing of the h.i.v. prevention drug truvata. witnesses include doctors and the c.e.o. of the company that manufactures the pill. they were asked why the pill is higher in the u.s. than in other countries. this is about three and a half hours. >> the meet willing come to order. the chair recognizes a recess of the committee at any time. i recognize myself for five minutes to give an opening statement. today. is our committee's second hearing on the skyrocketing