The final package of new credit card rules went into effect Sunday. The latest rules limit late payment fees and other penalties. This completes a major overhaul of the credit card industry that was set into motion by the Credit Card Accountability, Responsibility and Disclosure (CARD) Act of 2009. One of the newest federal laws
New regulations for credit cards on how interest rates and fees can be assessed are working. However, some loan lenders are lamenting the new rules that require greater disclosure when changing terms with customers. Outlawing guerrilla-style fee and interest raises has led Bank of America and other companies to lose value from credit card units.
After the CARD Act, or the so-called Credit Card Holder Bill of Rights, passed Congress, credit card companies started to think of new ways to increase revenue. Credit card companies now are figuring out ways to legally charge more for using the credit they extend. There are greater interest rates being assessed. Late payment penalties
New credit card rules approved by the Federal Reserve on Tuesday are designed to protect consumers from interest rate hikes, heavy late fees and other penalties. Since the 2009 credit card law was passed last May, credit card companies have tried to stay a step ahead of the law with creative new fees and penalties.
The latest fight over the Consumer Financial Protection Bureau involves a credit card hotline. The hotline would essentially take calls from concerned consumers, and the agency would compile complaints about credit card companies. However, banks and card issuers want restrictions placed on the information. Banks and card companies want to avoid crowd-sourced penalties The latest
In 2009, President Obama signed the Credit Card Act into law. One of the provisions of the law is that credit card companies, in conjunction with the National Foundation for Credit Counseling, must provide resources for consumers who have difficulty with their finances. While they’ve held up their end of the bargain, recent NFCC studies
Over the past few years, Congress has passed a slew of financial reform laws. There has been opposition, to be sure, but laws like the CARD Act were created in order to ensure that consumers were being treated fairly by financial institutions. The effects have been as intended in some ways, but there will be
There are many components to the Credit Card Accountability, Responsibility and Disclosure (CARD) Act, and one of the big items concerns aggressive marketing of credit cards to college students. College is an increasingly expensive undertaking, and many a student has wanted for debt relief upon graduation having to pay back the money lenders that helped
The Great Recession occurred largely as a result of unsafe lending practices that allowed consumers to exceed their means and drag the nation’s economy down with their personal finances. The extent to which this occurred could have perhaps been decreased if more proactive federal regulation had taken place. It appears as if the Federal Reserve
New credit card laws negatively affect banks Legislation passed last year on new credit card laws goes into effect today, and banks are none too happy about it. “JPMorgan Chase, the nation’s largest credit card issuer, warned it expected its credit card business to lose as much as $750 million this year as a result