New Credit Card Rules - Pass the bill?
The congress is fighting actively for passing a new bill which will restrict credit card issuers to increase the interest rate, any time they please. This law is still being discussed about and is being taken very seriously rather than being toyed upon. The law may be effectively pronounced in the middle of 2010.
There are as such no legislation rules governing the interest rates of the credit cards and issuers have the freedom to hike them as they please. For now, they are required t give a 15 day notice for increasing the interest rate and there are literally no limits on the rates as such. In case of credit cards, the company offering the least interest rate is favored and hence it is the fear of monopoly, which keeps the interest rates down.
Tags: credit card