The Latest Credit Cards Tips

Credit card changes

Posted in: Credit Cards

Credit card changes

A Senate bill passed last week will bring a great number of changes to the credit card industry by early 2010.

The Senate vote went 90-5 in favor of the changes proposed in the legislation. The legislation is aimed at helping consumers by altering some industry practices also requiring more transparency by credit card issuers about fees and interest. Some of the changes include:

  • Requiring a 45-day advance notice of changes in rates and significant contract changes
  • Restricting the practice known as double-cycle billing
  • Requiring a 30-day advance notice of an account closure
  • Furthering restrictions on marketing to college students
  • Requiring that payments above are applied to balances with the highest interest rates first (when different APRs apply to different balances with the same card)
  • Restricting retroactive interest-rate increases to only those consumers who are at least 60 days overdue
  • Requiring issuers to send bills at least 21 days before the due date

President Obama signed this measure, known as the Credit Cardholders’ Bill of Rights Act of 2009, into law late last week, so consumers can expect to see many changes int the credit card industry over the next year.

Recommended reading: Credit-Card Fees Curbed



Comment on this Tip






Tips by Category

 

 




Consumers putting their money in different places now

Credit Card News

Consumers putting their money in different places now

A recent report from credit giant TransUnion took a look at where people are now putting their money and had some interesting findings. Read more



Credit Card FAQs



Credit Card Calculators

Balance Transfer Calculator
Balance Transfer Calculator

Calculate the best distribution of your credit card debt. Determine which balance transfers will produce the greatest savings.



you are here ›› hometipscredit cards
Personal Finance Tips - Credit Cards