bigbir

In response to the fact that many Americans are facing huge credit card debt, as much as $945, President Obama signed a bill that will severely hinder the capacity of card issuers to raise interest rates and fees without warning or notice.

“With this bill we are putting in place some common sense reforms designed to protect consumers,” President Obama said after signing the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act of 2009 (H.R. 627).

What this bill does is protect card holders from the unannounced and sudden increase of interest rates to their clients. Card companies cannot make an increase without issuing a notice to their clients 45 days prior to their planned increase.