Changes to Credit Card Regulations

In May 2009, the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act)amended the Truth in Lending Act (Regulation Z) and other statutes, which provide rules that are intended to better protect credit card users by prohibiting certain unfair acts or practices. These statutes also aim to improve the disclosures consumers receive in connection with credit card accounts and other revolving credit plans.

The Federal Reserve Board approved an interim final rule in January 2010 amending Regulation Z to protect consumers who use credit cards from a number of costly practices. Credit card issuers had to comply with most aspects of the rule as of February 22, 2010. Many credit card issuers already had several elements of their compliance plan in place. For instance, consumers should have seen a new look to their credit card statements starting in February 2010. Some of this new look includes information about how long it will take to pay off debt and contact information for nonprofit credit counseling agencies. For more information, please visit the Credit Card Statements Will Have a New Look in February (PDF document) news release from the National Foundation for Credit Counseling (NFCC).

In addition to changes in credit card statements, prepaid gift cards experienced some adjustments as well, including extended expiration dates and limits on fees. For more information, you may wish to view the Changes in Credit and Gift Cards in 2010 website from the Federal Citizen Information Center (FCIC).

Consumer's Guide: Credit Cards is a website from the Federal Reserve that summarizes the new credit card protections that took effect on February 22, 2010. The site includes interactive tools for users to learn more about the terms and fees of credit card offers, and about the new features of monthly statements. You may also visit the What You Need to Know: New Credit Card Rules website.

The remaining provisions of the Credit Card Act's amendments to Regulation Z went into effect on August 22, 2010. For more information about the remaining provisions, please visit the publicationWhat You Need to Know: New Credit Card Rules Effective August 22, 2010.

Additional Resources:

Please note: To view and print PDF documents, you must use the Adobe Reader software, which is available for download without charge.

by USa.gov team