Credit Card Reform Bill Passes With Guts Intact

NYT: It sounds like most of the good stuff stayed in the Senate Credit Card Reform bill:

  • Plain-English contracts
  • Can’t raise interest rates on existing balances unless the card holder is 60 days behind, then the rate has to be restored if payments are on time for six months.
  • 45 days advance notice required for rate increases.
  • Credit card companies can’t charge a late fee if they themselves are late processing a payment.
  • Statements have to get mailed 21 days before the payment is due.
  • Harder to give credit cards to people under 21.
  • Interest rates can can’t be increased within the first year
  • Promotional rates have to last at least 6 months

Senate Passes Bill to Restrict Credit-Card Practices [NYT] (Photo: frankieleon)