Blonch

The Credit Card Accountability Responsibility and Disclosure (CARD) Act of 2009 puts more restrictions on credit card lenders and their practices. Most of the provisions aren’t effective until February. 22, 2010, but two take effect this week (August 20, 2009).

Notice of Future Interest Rate Increases

• After the first year, the card issuer can raise the interest rate on future purchases, or make other “significant” changes in terms with 45 days advance notice. The notice shall advise the consumer of the right to cancel the account.

Payment Due Dates

• Credit card issuers must mail the billing statement at least 21 days before the due date. If there is a grace period, the grace period must extend the 21 day period after a statement is mailed.

Filed under:
Credit Card Debt by PecosJack