New Credit Card Rules Go Into Effect
Posted on Aug 22, 2010
New rules curbing credit card company shenanigans took effect Sunday, as restrictions on “unreasonable late payment and other penalty fees” will now block the companies from charging excessive levies if users, to cite just one choice example, do not use their cards. —JCL
New rules designed to protect credit card users from “unreasonable late payment and other penalty fees” come into force Sunday as a result of the Wall Street reform bill.
The rules block credit card companies from charging more than $25 for late payments except in extreme circumstances, prevent them from charging customers for not using their cards, and requires them to reconsider rate increases imposed since January 1, 2009, according to the Federal Reserve, which approved the regulations.
They are the final provisions of federal legislation that placed new restrictions on credit card interest rates and fees, completing the most comprehensive overhaul of the credit card industry in history.
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