Forum Post: Securitization [was] the "major impetus" for banks to expand penalty fees and rates in recent years-Banks "have little to lose if they squeeze too hard (if consumers default), but a lot to gain if they can extract additional payments" Adam Levitin, a Geo

Securitization has been a "major impetus" for banks to expand penalty fees and rates in recent years, says Adam Levitin, a Georgetown University law professor and card expert. Banks "have little to lose if they squeeze too hard (if consumers default), but a lot to gain if they can extract additional payments" from card users, he says.

http://www.usatoday.com/money/industries/banking/2008-11-09-bank-credit-card-interest-rates_N.htm