Land Minds Amidst for Credit Card Relief
February 28, 2010 – New York, New York– In light of the new credit card act that has been enacted, the Credit Card Accountability, Responsibility and Disclosure Act of 2009, there are still numerous traps that credit card institutions are hoping to tie down their customers with. The CARD act was created to protect costumers from unfair lending practices such as raising interest rates at any time and double cycling billing. Nevertheless, these lenders realize the great loss that they will be facing in the near future and are trying to find any solution that will lessen the blow, including a new series of arbitrary fees and tricks to make up their losses.
Many clients will now be facing new and higher fees. One example is Discover Financial Services who will begin charging a 2 percent fee on any purchases that are made internationally. Rolling over credit balances at JPMorgan Chase will now be a 5 percent charge, up 2 percent. Lending institutions are quite aware of what the new laws permits and has omitted. One of the omissions is the fees that they are allowed to charge.
Since no restrictions have been made to the fees that Credit companies are allowed to place on cardholders, these cardholders must comb through the fine print to make sure they know exactly what to expect from their credit card through the Terms and Conditions section of their contract. Receiving a credit line may also be in jeopardy for people with mediocre credit histories as credit card companies have been severely limiting their application acceptance.
Lenders have also cut down on rewards cards. Those who have not cut down, have been increasing the annual rates to make up for losses. Brad Nifdom, Spokesperson for CreditTime says, “Since the implementation of this act, it is clear that credit card companies must find new and unique ways to make up for their losses. However, the customer should be aware that they will still have to pay back these lenders regardless of the laws that have been set in motion to protect them.“
About CreditTime: Credit time is the leader in providing consumers the most up to date, well organized, and easy to use financial information available today. CreditTime helps customers take control of their money and their life. CreditTime’s experts are comprised of many of the most important advisors in the areas of money, loans, credit, debt, and banking. CreditTime offers its visitors the most comprehensive and easy to understand financial information ever made available so customers can make sound financial decisions that can positively impact their lives.
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