A lot of credit card user agreements get tossed into a recycling bin without ever being read. And a lot of consumers surely come to regret that omission once late fees or other unexpected charges start showing up on their bills.

Some members of Congress want to make such costly surprises less likely with a House bill titled "The Credit Cardholders' Bill of Rights Act of 2008." With $2 trillion charged to nearly 700 million bank credit cards in 2006, the bill has drawn keen interest from consumer groups and creditors alike.

Among other things, the proposed bill would eliminate the controversial practice of "universal default," which allows a creditor to ratchet up borrowing costs on existing debts if a consumer's overall credit situation makes him look like a risky customer. Under the bill, companies would be allowed to base such judgments only on a consumer's payment history with that particular company's card.

As enticing as it sounds to step in and protect Jane Average who's struggling with credit card debt, Congress should avoid the temptation to ban universal default.

Debtors are almost as different as their fingerprints. Many pay their bills on time. Others aren't nearly as diligent, because of circumstance, habit or intent.

Creditors rank, track and rate customers to try to assess their creditworthiness. It's an imperfect business at best, but firms have a keen financial interest in assessing risk well.

If companies are forbidden by law to consider a consumer's overall credit situation in setting rates, their ability to balance risk and gain is compromised. To compensate, creditors would be forced to raise rates for many, including those with better credit, to spread the risk around.

Such a change could also force companies to reduce the amount of credit they make available, a dangerous step in an economy where consumer spending has stagnated.

Other provisions in the House bill do have merit and should become law. For example, card companies should be required to give consumers at least 45 days' notice before raising credit card interest rates. That would allow consumers time to react as their personal circumstances dictate.

The Federal Reserve will propose similar language in credit card disclosure rules due to be announced this spring.

Also related to timing, the House bill's requirement that companies mail credit card bills 25 days before the due date makes sense as well. Twenty-five days is a reasonable time period and a lot more consumer-friendly than the current 14-day minimum.

Finally, it makes sense to develop a single set of definitions for common phrases in those credit card agreements that few of us read anyway. Terms such as "fixed rate" and "prime rate" should have clear meanings that do not vary from company to company or month to month.

— Andre Jackson, for the editorial board