Skip to Content

Get Your FREE Consultation


CARD Act Goes Into Effect

February 22, 2010

The Credit Card Accountability, Responsibility, and Disclosure Act (“CARD Act”) went into effect on February 22, 2010. The CARD Act was intended to rein in perceived abuses by credit card issuers.

The law requires card issuers to: (1) provide at least 45 days’ notice to most customers before making significant changes to their card, such as hiking the interest rate or fees; (2) inform customers on their monthly bill how long it will take to pay off their balance if they make only minimum payments; (3) mail a monthly bill at least 21 days before payment is due and not use holidays and weekends as an opportunity to levy late fees; and (4) apply payments to the highest interest balances first.

The law also prohibits card issuers from the following: (1) increasing the card’s interest rate in the first year of the account in most cases; (2) applying any increase in rates to old charges in most cases; (3) charging an over-the-limit fee unless the customer affirmatively authorizes such charges; (4) issuing cards to consumers under 21 years of age unless they show they have the ability to make payments or have a co-signer; and (5) using double-cycle billing, where interest charges are imposed on purchases that have already been paid off. Consumer advocates have applauded these new credit card fee and rate restrictions, but worry that credit card issuers will simply look for loopholes in the legislation or seek to recoup the lost income through higher annual fees, higher interest rates across the board, and through other means.

No Win, No Fee

Review Us

Martin & Jones, PLLC logo

“Thank you for your concern of my well-being every time I spoke with you. It always meant so much. I hear nothing but awful stories of dealing with attorneys and their offices, but I have had nothing but positive experience. You have many special ways of working with people in need of help. Words can never express the way your support has been so helpful. I pray you will continue to help others. I wish you all the best.”

Contact Our North Carolina Personal Injury Law Firm

for a Consultation for Your Accident or Medical Malpractice Claim

Call us at 800-662-1234
No Win, No Fee

The law firm you choose makes a difference. If you are the victim of an accident or an illness that someone else caused, the North Carolina personal injury law firm of Martin & Jones has the depth of experience, skills and sensitivity to make your road to recovery as smooth as possible. Whether you have experience with the legal system or have never hired a medical malpractice or personal injury lawyer before, our attorneys and staff will do our best to answer your questions, provide clear advice and prepare you and your family for what to expect. If you would like more information or to meet with one of our attorneys, please fill out the form below or call us at 800.662.1234.