What is theCard Act of 2009?

The Card Act of 2009 is a federal law designed to protect consumers from unfair and deceptive credit card practices. This law was established on May 22nd, 2009 and applies to all credit card companies that do business in the United States. The Card Act of 2009 applies to all types of credit cards, including store cards, prepaid cards, and debit cards, as well as credit cards issued in Tennessee. The Card Act of 2009 requires credit card companies to provide greater transparency and disclosure of account terms. This means that credit card companies must now clearly disclose the costs of their products, including the applicable interest rates, fees, and penalties. It also requires credit card companies to provide notice at least 45 days prior to any changes in terms or conditions. The Card Act also limits the use of certain practices such as universal default, which can raise interest rates based on a borrower’s credit history with other lenders. It also restricts the issuance of credit cards to people under the age of 21 unless they have a cosigner or proof of income. Additionally, the Act limits the use of over-the-limit fees and prohibits any type of fee for activities such as making payments online or by phone. The Card Act of 2009 is an important law designed to protect consumers from unfair and deceptive credit card practices. If you have any questions about your credit card or would like more information, contact your credit card company for assistance.

Related FAQs

What is the minimum credit score required to qualify for a credit card?
What are the benefits of having a credit card?
What are the risks associated with using a credit card?
What is a universal default clause?
What is a balance transfer?
Do I have any recourse of action if a lender violates the Fair Credit Reporting Act?
What should I do if I spot an error on my credit report?
How do I close a credit card account?
What is a chargeback fee?
Is there a maximum amount of credit card debt I can have?

What is theCard Act of 2009?

Related FAQs

Related Blog Posts