Credit card issuers face limits on fees and greater disclosure requirements as CFPB pledges more scrutiny after a 2009 law that revamped regulation of the business.

Bully tactics used to scare or coerce buyers.

October 2, 2013, Bloomberg News –

The Credit Card Accountability Responsibility and Disclosure Act of 2009 (“The Card Act”), limited lenders’ ability to raise interest rates, curbed late fees and forced lenders to seek customers’ approval to apply over-limit fees.   Credit card issuers may face new limits on fees and greater disclosure requirements as Consumer Financial Protection Bureau pledges more scrutiny after a 2009 law that revamped regulation of the business.

The law saved consumers a total of $4 billion in 2012 by cracking down on how late fees and over-limit penalties are assessed.

Think about the information you are giving this stranger: all your financial information, your children’s names, bank accounts and your social security number. You do this without the slightest guarantee that the information will be kept safe.

“The CARD Act brought better consumer protections and fairness to the marketplace, but we found there is more work to be done,” CFPB Director Richard Cordray said.  According to Cordray, the Bureau is now focusing on whether certain cards impose undue fees, and whether issuers adequately disclose terms and conditions.  In his remarks, Cordray said the law saved consumers a total of $4 billion in 2012 by cracking down on how late fees and over-limit penalties are assessed.  The total cost of credit on the cards, which includes all fees and finance charges, declined by two percentage points.

Read more about credit card companies facing scrutiny.

Read the entire article…

We have several videos on our web site.  Below is one that might be of interest:

  • “Meet Ms. Drain and Suggestions on How to Hire an Attorney”

CLICK TO OUR WEBSITE

Note from Diane. Do I believe we should all pay our debts? Of course!! Do I know that banks are taking advantage of folks who do not understand the cost of borrowing money or using credit? Absolutely, I have seen this for years!!  Meanwhile we can all make a difference by teaching our children and ourselves how to use credit wisely.

Do I believe that the U.S. Consumer Financial Protection Bureau will really make a difference?  Time has proved that they are the only government body really fighting for the consumer.

389 words|1.9 min read|Categories: Collection companies & Debt buyers, Consumer Financial Protection Bureau, Consumer Issues, Credit Report, Payday and other usury loans|By |Published On: October 2nd, 2013|Last Updated: May 29th, 2022|

Share this article

Diane is a well respected Arizona bankruptcy and foreclosure attorney. As a retired law professor, she believes in offering everyone, not just her clients, advice about bankruptcy and Arizona foreclosure laws. Diane is also a mentor to hundreds of Arizona attorneys.

*Important Note from Diane: Everything on this web site is offered for educational purposes only and not intended to provide legal advice, nor create an attorney client relationship between you, me, or the author of any article. Information in this web site should not be used as a substitute for competent legal advice from an attorney familiar with your personal circumstances and licensed to practice law in your state. Make sure to check out their reviews.*

Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Google Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Yelp Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Avvo Reviews
Avvo - Rate your Lawyer. Get Free Legal Advice.
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Martindale-Hubbell Award
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Alignable Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Better Business Bureau
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Google Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Yelp Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Avvo Reviews
Avvo - Rate your Lawyer. Get Free Legal Advice.
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Martindale-Hubbell Award
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Alignable Reviews
Law Office of D.L. Drain, P.A., Arizona Bankruptcy Lawyer - Better Business Bureau

In Case You Missed It

  • Into the Shadows: Unraveling the Dark World of Fraud, Schemes, and Scams The Sneaky World of Fraud and Scams: How They Work and Why You Should Be Careful Fraud and [...]

  • Published On: March 30, 2024

    After 100 Years of Protecting Homeowners, Arizona's Law Changes to Give Creditors New Rights to Take Your Home Depending on the value of your home, creditors can now take it if [...]

  • Bankruptcy is a complex process that can have significant implications for your business and personal finances. Before considering business bankruptcy as an option for your struggling business, it's crucial to understand the potential pitfalls [...]

  • In today's consumer landscape, credit cards are the normal tools for managing finances and making purchases. However, having credit card debt can lead to financial stress and vulnerability to predatory schemes. Recognizing the importance [...]