But then, like the Grinch who stole Christmas, the House swept the package from under the tree. It’s now in committee, where it will be studied until enthusiasm cools.

At this moment I’m holding with the Grinch. An overnight rate cut, while gladdening the fiscally sound, could cut off huge numbers of marginal borrowers from their current sources of credit. Look what happened last year when First Chicago reviewed its slow-paying customers in the Northeast. Some 7,800 bank cards were revoked and 1,100 credit lines reduced. A shock like that–levied nationally–could send confidence into a tailspin.

An orgy: But looking farther ahead, some sort of cap makes a lot of sense. At 19 and 20 percent, credit cards are so staggeringly profitable that they’ve stirred the bankers into an orgy of reckless lending. Record numbers of Americans are filing into bankruptcy court with fistfuls of cards that they shouldn’t have gotten in the first place. A cap of 14 percent is too low, but 18 percent would block some of this dangerous debt. Lower lending rates would reduce the banks’ profit, but here’s how they could earn it back: charge interest or fees to the free-riders who always pay their cards in full and therefore get their credit free.

Fortunately, you don’t have to wait for Congress to cut your interest rate for you. Credit-card bargains are everywhere. Last January, Robert McKinley of RAM Research counted 38 issuers charging less than 15 percent interest on unpaid balances. This month it’s up to 52 and more consumers are starting to switch. Cards charging 18 percent and up lost 5 percent of their business in the first six months of 1991, according to a RAM survey. By contrast, cards at 16.5 percent or less picked up 10 percent.

The interest rate isn’t the only measure of a card. If you are among the one third of users who pay their bills in full each month, you need only a card with a grace period (when no interest is charged) and no annual fee. Your effective interest rate: zero. If you only occasionally carry a balance, the size of the fee may count more than the rate. To estimate what a card might cost, apply the interest rate to your year’s average balance, then add the annual fee.

You can switch your balances from an old card to a new one, says Elgie Holstein of Bankcard Holders of America. Just take a cash advance on your new card and use it to eliminate the old debt. Some sources of bargains (note that many cheap cards now carry variable interest rates):

Your own high-rate bank. Some–like First Chicago and Columbus-based Bank One–offer good customers lower rates in order to keep them from jumping ship.

No-fee cards. Some drop fees entirely. Some waive fees if asked, and if you charge at least $2,400 a year.

Credit unions, which may have both low rates and low annual fees. Many serve only one employer, but growing numbers embrace whole communities. If your company lacks a credit union, write to the Credit Union National Association (P.O. Box 431, Madison, Wis. 53701) for the address of your state’s Credit Union League. The league can tell you where to find a credit union you might join.

Super-low-rate banks. But they want spotless credit histories and low debt-to-income ratios. Some 40 to 60 percent of applicants may be turned down. Credit limits start at around $1,000, unless you have a high net worth.

The USAA Federal Savings Bank (800-922-9092) markets to families of military officers, but anyone can apply. Current cost: 13.75 percent and no annual fee.

The Union MasterCard (12.5 percent) or AFL-CIO Union Privilege (13 percent), both with no annual fee. You’re eligible if your union has signed up.

AT&T’s Universal card (800-662-7759)–charging new members 17.4 percent plus $20 a year. AT&T’s mail solicitations offer a 10 percent discount on long-distance calls.

Optima, primarily for cardholders of American Express although others can apply. You’re charged 16.25 percent (although AmEx has twice monkeyed with the rate-setting formula to keep interest charges up).

Gold cards typically charge higher annual fees, but their interest rates are lower, usually by 1 percentage point or more. That makes them good buys for people with high balances. A gold card at Central Carolina Bank (800-6722539) now costs 9.5 percent with only a $20 annual fee.

For a list of lower-cost local, regional and national cards, send $5 to CardTrak, RAM Research, P.O. Box 1700, Frederick, Md. 21702. For a zero-interest cost, just pay in full.

Why pay 19.8 percent interest on your Citicorp or Bank of America card if you qualify for something better? Here’s a sampling of low-rate or no-fee cards. But the less they cost, the harder they are to get.

ISSUER ANNUAL ANNUAL RATE FEE Simmons Bank* (501 -541-1304) 9.50% $25 Bank One Milwaukee (800-388-0225) 13.90% $25 People’s Bank (800-423-3273) 13.90% $25 Amalgamated (Chicago)* (800-365-6464) 14.00% $0 Ohio Savings (800-356-1445) 14.75% $25 First State (512-495-1000) 15.90% $12 Abbott Bank’ (800-999-6977) 16.30% $0 Marine Midland’ (800-446-5336) 16.95% $20 Security Bank (800-443-5465) 18.00% $0 ALL ISSUERS HAVE 25- TO 30-DAY GRACE PERIODS FOR PAYING BILLS. ‘VARIABLE RATE. SOURCE: RAM RESEARCH