Law Eliminates Nasty Surprises

A law passed this year will help people who are trying to manage their credit card debt. The law, which takes effect in about six months, forces credit card lenders to play fair by requiring that they:

... not change interest rates unless the customer is more than 60 days behind on a payment,

... provide a 45 days' notice of any increase plus an explanation,

... restore the previous rate if the consumer pays the minimum balance on time for six months,

... not enact any retroactive rate increases,

... post credit-card agreements online,

... require a co-signer for new credit card applicants 21 years old or younger, unless they prove they have the means to pay the debt,

... mail monthly statements at least 21 days before a payment is due,

... and show how many months it will take to pay off your total balance if you only pay the minimum.