subject: New Restrictions on Credit Card Companies - What Your Credit Card Company Is Liable To Tell You [print this page] The present condition of the American credit card debtors is not only due to their unwise usage of their credit cards but on a large scale it is due to the unfair practices and excessive greed of the credit card companies. These companies charged their consumers with massive hidden charges to make more and more money.
They also wanted their consumers to remain gripped in their fierce clutches because their consumers are their source of regular revenue generation. Due to unfair dealings and excessive charging of these companies, the original debt amount of credit card consumers become almost double.
On the other hand, a massive and destructive financial turmoil hit the economy and wiped out all the financial assets and resources of the debtors such as their lucrative jobs, small but profitable business and other revenue generation avenues and left them helpless to wait for their turn of bankruptcy.
Now, the federal government is considering this situation very seriously and besides rescuing these debtors, the government is also bringing the card companies under the umbrella of strict laws in order to bring transparency and fairness in their working procedures, mechanism and in the overall practices so that they couldn't exploit their clients any longer.
The new laws for the credit card companies restrict and bind them that they cannot impose any extra charges or charge their clients with the piling rates of interest, if they are making continuous payments of their dues from the past six months. These companies cannot raise their schedule of charges, interest rates and other parameters, which directly and most devastatingly hit the credit card consumers, without informing them at least 45 days before its final implementation decision.
Now, your credit card company cannot exploit you anymore because the regulatory authorities are paying their greater attention in bringing the credit card issuers in their legal ambits so that they couldn't make the economical situation more intense because due to their unfair practices, the consumer default rate increased and the government was compelled to offer debt relief programs to protect the consumers from possible financial default.
If you have over $10,000 in unsecured debt it may be a wise financial decision to consider a debt settlement. Due to the recession and overwhelming amount of people in debt, creditors are having no choice but to agree to debt settlement deals.
New Restrictions on Credit Card Companies - What Your Credit Card Company Is Liable To Tell You
