Previously reported restrictions on the practices of non-prime credit card lenders are coming to fruition (See ASR 4/08/02). The Metris Companies signed an agreement last week with the Office of the Comptroller of the Currency (OCC) "to strengthen certain aspects of the safety and soundness of the bank's operations," the company stated in its most recent 8-K, filed last Wednesday with the Securities & Exchange Commission.

As part of the agreement Metris will complete a comprehensive evaluation of credit risk management in order to ensure that it maintains strict controls and establishes additional policies for the testing of new strategies for account acquisition, account management and collection. Also, Metris must complete a comprehensive evaluation of borrowers' ability to reduce debt and possible causes for increased debt.

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