Have Questions About Credit Card New Law?
On February 22, 2010, the Credit Card Accountability, Responsibility, and Disclosure Act goes into effect. This law, signed on May 22, 2009 by President Obama, protects consumers. Now credit card companies can no longer instantly raise your interest rate with no warning, they must inform you first.
Even with this new law in effect, you remain your own first line of defense. Credit card interest rates will not be capped, and credit card companies may go to annual locked-in fees, so you must remain vigilant.
Other helpful tips about the Credit Card Accountability, Responsibility, and Disclosure Act include:
- Know your rights when it comes to the Credit CARD act. For instance, credit card companies will be prohibited from arbitrarily changing the terms of their contract with a cardholder, banning the so-called practice of "any-time, any-reason rate change."
- Be sure you know what interest rate you'll be paying and for how long. You also need to know about any annual fees, late charges or other fees, and whether there are grace periods for payment before interest is applied.
45 Consumer Credit Tips for the 45-day Countdown to the Credit CARD Act
"A Tip a Day Will Keep the Bill Collector Away" Carrie Coghill, Director of Consumer Education for FreeScore.com, suggests these 45 Consumer Credit Tips 45 days before the Credit CARD act goes into effect.