Credit Card Issuers Reap Huge Profits

as reported in Bloomberg.com: Worldwide

July 19 (Bloomberg) -- Bank of America Corp. and nine other U.S. banks reported higher second-quarter profits fueled by a boom in loans and credit-card fees, prompting the biggest gain in their shares in more than three years.

Bank of America, the country's No. 2 lender, today said earnings rose 18 percent to a record $5.48 billion, or $1.19 a share, after its acquisition of MBNA Corp. increased revenue from credit cards. SunTrust Banks Inc. and PNC Financial Services Group Inc. posted the best profit growth among regional banks, while Bank of New York Co. led gains at custody banks.

All those millions spent on influencing congress is now paying big dividends. And so it goes....