America, Welcome to the Poorhouse: What You Must Do to Protect Your Financial Future and the Reform We Need

Chapter 9How Credit Card Debt, Home Equity Loans Get You Over Your Head in Debt

Credit card reform is one area where Congress has finally “done right” on behalf of its citizens. In May of 2009, President Obama signed into law a measure that bans interest rate hikes unless a consumer is more than 60 days late, requires credit card “promotional rates” to be in effect for at least six months, and requires the issuers to disclose the payoff time and total interest costs to consumers if they pay only the minimum balance on a bill. More importantly, it prevents card issuers from taking advantage of college kids by requiring any consumer under the age of 21 applying for a card to have a co-signer who is at least 21 years old unless the young ...