October Term 2003 · Docket 02-857

Does a credit limit fee count as a finance charge?

Credit card issuers and consumers dispute how to classify limit-exceedance fees under federal law.

Official caption
Household Credit Services, Inc. v. Pfennig
Latest argument session
Latest official Court activity
Latest verified event
Argued
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Official Transcript

Verified source milestones

  1. — An official oral-argument transcript was verified.
  2. — An official oral-argument transcript was verified.

The arguments, in order

This case may have been argued more than once. Each entry below uses that session's official transcript. Later arguments do not erase earlier ones.

  1. Argument 1 ·

    What happened at the argument

    Seth Waxman argued the fee is not a finance charge.

    Ms. Goldsmith argued the fee is a finance charge.

    Ms. McDowell argued the regulation is a valid exercise of authority.

    Read the official transcript for this argument · Official argument details

    Sources used for this argument breakdown

A citizen's guide to the whole case

What this case is about

This case tests the Federal Reserve's rule on fee disclosure. It defines what counts as a finance charge.

Official sources for this section

How the case got here

The Supreme Court heard oral argument in this case on February 23, 2004.

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What each side wants

the sides that brought the case want the fee excluded from finance charge calculations.

the opposing sides want the fee included in finance charge calculations.

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What each side says

the sides that brought the case argue the fee is not a finance charge.

the opposing sides argue the regulation validly defines the fee.

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What the justices asked

Chief Justice Rehnquist asked if the case was submitted.

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Why it matters

This defines how lenders calculate interest costs. It affects consumer borrowing costs nationwide.

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What happens next

This article currently covers the argument record. Use the official docket link for later case activity.

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Official Court provenance

Official docket and case history · Official Supreme Court oral-argument detail page

Title and summary sources

Revision history

  1. Revision 1 · Official Transcript ·

    Correction: Rewritten to the concise citizen-facing editorial standard.

  2. Revision 2 · Official Transcript ·

    Correction: Migrated to the dated official Court activity contract without model use.

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