What types of credit card practices are prohibited by the Truth in Lending Act?

The Truth in Lending Act (TILA) is a federal law that protects consumers from unfair credit practices. In Rhode Island, the TILA prohibits a variety of deceptive and predatory credit card practices. First, lenders must provide basic information about their cards and the terms and conditions that apply to them in a clear and concise manner. This includes the annual percentage rate (APR), late payment fees, and other information. Second, the TILA prohibits any unfair or deceptive practices. This includes things like misleading advertising, hidden fees, and unfair billing practices. Third, the TILA requires that lenders give consumers the right to cancel a credit card before it is used. This gives consumers the right to dispute any charges they believe to be inaccurate or fraudulent. Fourth, lenders must give consumers the right to dispute any unauthorized charges on their credit card and request a refund. Finally, the TILA prohibits creditors from charging consumers additional fees or raising interest rates on existing balances if they have not received advance notice. In conclusion, the Truth in Lending Act is designed to protect consumers in Rhode Island from unfair, deceptive, and misleading credit card practices. It ensures that lenders provide clear and accurate information, give consumers the right to cancel their credit cards, and do not impose unfair fees or interest rates.

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What types of credit card practices are prohibited by the Truth in Lending Act?

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