Defend Your Dollars

Credit Cards

A comprehensive credit card law is now in place that will help end the tricks that trap consumers in high-cost credit card debt. You can learn more about these key rights below. Click here to see when different provisions of the law go into effect.

The new credit card law includes these consumer protections:

Restricts all interest rate increases during the first year
Restricts interest rate increases on existing balances
Increases notice for rate increase on future purchases
Preserves the ability to pay off on the old terms
Requires fair application of payments
Provides sensible due dates and time to pay
Protects young consumers
Restricts issuance fees on fee harvester cards
Requires enhanced disclosures
Places limits on fees and penalty interest
Requires banks to review rate increase every six months
Establishes gift card protections

Click here to read a full summary of the Credit Card Legislation.

Read the Federal Reserve Board’s Tips on the new Credit Card Law.

Publications

• CU urges Fed to improve credit card disclosures
  Posted 08/27/07 at 1:03 pm

  But more needs to be done to protect consumers from excessive credit card interest rates and fees

• Consumers Deserve Stronger Financial Services Protections
  Posted 07/27/07 at 4:50 pm

  Consumer advocates testify before House Financial Services Committee to improve consumers protection

• Congress considers new ID theft protection
  Posted 07/18/07 at 12:48 pm

  House Ways & Means Committee OKs restrictions on the sale and availability of social security numbers

• 39 states lets consumers freeze credit files
  Posted 07/16/07 at 4:07 pm

  Consumers Union offers online guide on how to prevent ID theft with a security freeze

• Simplify the fees, not just the disclosures
  Posted 06/06/07 at 5:36 pm

  Response to Bank of America’s knowledge campaign on bank fees

• Bills in the 110th Congress on notice of security breach and other data security issues
  Posted 06/04/07 at 10:52 pm

  Key issues on financial privacy and identity theft in Congress

• Another week, another identity theft scandal
  Posted 05/25/07 at 4:52 pm

  Recent data security breaches have underscored the need for stronger identity theft protections for consumers.

• FAQ – Freeze Identity Thieves Out of Consumers’ Credit Files
  Posted 05/11/07 at 4:44 pm

  Consumers Union makes the case for giving consumers the right to put a security freeze on their credit files.

• Consumers Union letter on S. 1178
  Posted 04/24/07 at 3:34 pm

  CU outlines its position on bill establishing national notice of data security breach rules and security freeze.

• President’s ID Theft Task Force’s Plan Falls Short
  Posted 04/23/07 at 2:56 pm

  Task Force’s recommendation on notifying consumers about data security breaches doesn’t go far enough.

Blog Posts

• Dirty Deeds: Abuses and Fraudulent Practices in California’s Home Equity Market
  Posted 10/28/95 at 1:40 am

  October 1995 Dirty Deeds: Abuses and Fraudulent Practices in California’s Home Equity Market by Norma Paz Garcia Executive Summary Through home equity loan abuse and fraud, homes are stolen and lives are devastated. High cost home equity loans sold to homeowners with no reasonable ability to repay them, have taken the homes and devastated the Continue Reading