Laws to Protect Credit Card Customers
Laws to protect credit card customers have been in effect for 2 years consequences and results are now becoming clear according to this report by MSN Money.
Back in 2009, the Credit Card Accountability, Responsibility and Disclosure Act was signed to great fanfare, with the White House lauding it as a “turning point for American consumers.” The question is, which way have things turned for consumers? By at least one measure, the CARD Act may have been a multibillion-dollar turn in the wrong direction.
The CARD Act was implemented on Feb. 22, 2010, and two years seems a fair time to assess its successes, failures and overall implications for consumers with credit cards.
Though the CARD Act did not take effect until February 2010, it had been signed by President Barack Obama nine months earlier, and it had been discussed openly for months before that. In the interim, there was a flurry of activity among credit card companies as they adjusted their rates and fees, presumably in anticipation of the new law.
So, to get a true reading on the impact of this law, it was necessary to go back to late 2008 for a look at how things were before anticipation of the CARD Act started to change things. To do this, CardRatings.com compared terms on roughly 500 credit card offers from late 2008 and late 2011, and found the following impacts that may be attributed to the CARD Act: