New Credit Card Rules February 2010
- Interest rate changes: Credit card issuers will no longer be able to charge interest rates retroactively on old balances — unless you are 60 days overdue for a payment. Also, credit card issuers have to apply your payments to the debt with the highest interest rate first.
- Due date change: Congress standardized credit card due date rules, stating that as long as the payment arrived by 5 p.m. on the day it is due, it is on time. This replaces disparate credit card rules that include 2 p.m. deadlines, and other issues.
- Notice of changes to credit card agreements: When a credit card company changes the terms of acredit card agreement, it will be necessary for the company to notify you at least 45 days in advance. Right now, companies can change the terms on a whim, without giving you time to do anything about it. Now consumers will have some time to make changes.
- Over the limit fees: The law forces credit card companies to get an “opt in” agreement from you before they can approve purchases that put you over your credit limit.
- 21 is the new age for credit card use: Anyone who gets a credit card under the age of 21 must have a co-signer, unless the person can prove he or she has sufficient income to afford the payments.