New US Credit Card Laws Puts Brakes on Abusive Practices: Bajan Overseas Shoppers Rejoice
Credit card companies may also raise interest rates as long as they provide 45 days’ advance notice
It is almost legendary about well-to-do Bajans who go Miami or Puerto Rico and do shopping to bring back here, equally popular are their grouses about clearing those Credit Cards which allow such lifestyles. As a pal used to say, “If you wanna live like a King? Then you gotta PAY like a King!”
Well, such practices may not be so prevalent now under Barack Obama, he’s talked about the exorbitant fees even for clearing too fast, now in Miami the times? They are a-changing, as verified by South Florida Caribbean News;-
A new credit card law designed to provide consumers with some relief from abusive industry practices, such as arbitrary rate increases and double-cycle billing, went into effect on February 22, 2010.
The Credit Card Accountability, Responsibility and Disclosure Act, also known as the CARD Act, improves transparency, requiring credit card companies to make more disclosures of their terms to consumers. It also establishes other sweeping changes to prevent exorbitant fees.
The Miami-Dade Consumer Services Department outlines some of the new rules in this edition of ConsumerWise and advises cardholders to be sure to read all the credit card notifications you receive in the mail. By doing so, you can stay on top of any changes that may affect your bottom line.
However, manna is not flying from Heaven, you have to qualify for the breaks. Even if you do, don’t expect the bonuses received from previous Rewards programmes – what you gained on the swings? Now, you lose even more on the misses;-
- Big rate hikes are not gone for good. In order to receive some of the benefits under the new law, such as interest rate relief, you must be current on your bills
- Fewer rewards. To save money, some companies are tightening the purse strings on their rewards programs, making it more difficult for consumers to cash in on their accumulated points. If you’re late on a payment, for example, you may have to pay a fee to recoup your rewards points
- Additional restrictions on credit card practices are scheduled to take effect August 2010. For more specific details on the new CARD Act, please visit the U.S. Senate Committee on Banking, Housing & Urban Affairs website or Consumer-Action.org
For more consumer tips, or to check the complaint history of a company, file a complaint or ask consumer-related questions, visit the Miami-Dade Consumer Services Department website at WWW.MIAMIDADE.GOV/CSD or call (305) 375-3677
