Consumer Law

Will There Be Any Negative Consequences of the New Credit Card Legislation?

By Brian Wolfman

by Brian Wolfman

The new credit card legislation will eliminate certain credit card practices (such as double-cycle billing, unlimited marketing to minors, and very short-lived introductory teaser interest rates). It will, by definition, benefit consumers who would otherwise be harmed by the practices that have been legislatively modified or eliminated. But will the legislation have any negative consequences for consumers? That issue is addressed here by Michelle Singletary in today's Washington Post. Singletary discusses the possibility that credit card companies will respond to the new reforms by re-imposing the annual fees that had been largely eliminated in recent years. (And the credit card companies have warned that the new restrictions could lead to higher interest rates.)

Full post as published by CL&P Blog on May 24, 2009 (boomark / email).