Minimum payment on credit cards

Credit cards

Lost or Stolen Credit, ATM, and Debit Cards

"If  your credit, ATM, or debit card is lost or stolen, federal law limits your liability for unauthorized charges. Your protection against unauthorized charges depends on the type of card — and when you report the loss..."
Lost/stolen credit cards

Consumer Complaint Database

Find credit card complaint information at the newly launched credit card database from the
Consumer Financial Protection Bureau.

Credit Card Repayment Calculator
"Welcome to the Federal Reserve’s Credit Card Repayment Calculator. Based on the information you provide, the calculator will give you an estimate of how long it will take you to pay off your credit card balance. The calculator assumes:

you make no more charges; and
you make only the minimum payment each month.

A second calculation can help you develop a plan for paying off your balance sooner..."

The FDIC Issues Consumer Tips on How to "Shop and Save" on Loans, Credit Cards and Deposit Accounts
"The Federal Deposit Insurance Corporation today issued tips to help consumers shop for a variety of bank products and services by carefully evaluating their needs, contacting multiple institutions and reading the fine print before making a decision. The advice was published as a special edition of the quarterly FDIC Consumer News (the Spring 2011 issue), which is entitled "Shop and Save...at the Bank: A Buyer's Guide to Finding the Right Loan, Credit Card or Deposit Account."

The FDIC publication includes:

Strategies for choosing a mortgage, credit card, home equity loan, checking account or bank CD (certificate of deposit) that makes sense for the consumer;
Lower-cost alternatives to traditional -- and potentially expensive -- overdraft programs.
Information about escrow accounts for mortgage borrowers and the importance of monitoring the accounts for costly mistakes;
A suggestion to avoid mistakes when additional services are marketed with a loan or a credit card;
Information about why consumers should be cautious before using a prepaid card for their basic banking needs;
A reminder that stocks, bonds, mutual funds, annuities and other non-deposit products sold at banks are not FDIC-insured and that some of these investments can lose money; and
A basic "to-do" list for shopping at the bank..."

FTC Issues Enforcement Policy Statement on New Debt Relief Rule
"Enforcement Deferred for Tax Debt Relief Services, but Most Companies Are Now Prohibited From Collecting Advance Fees

The Federal Trade Commission has issued an enforcement policy statement on a new FTC rule that protects consumers by barring debt relief firms from collecting up-front fees. In its statement, the FTC says that while most companies that sell debt relief services over the telephone are now prohibited from charging fees before settling or reducing a consumer’s credit card or other unsecured debt, it will defer enforcement of the new rule for tax debt relief services.

The ban on advance fees reflects changes that the FTC made to its Telemarketing Sales Rule last July. These change take effect today. During the FTC’s education and outreach efforts earlier this month, some tax debt relief companies expressed uncertainty about whether the Rule applied to them. Specifically, they questioned whether tax debts are “unsecured,” which would make them subject to the Rule. The FTC currently is considering these concerns, and until further notice, will defer enforcing the Rule with respect to “services that represent, directly or by implication, to renegotiate settle, or alter the terms of obligation between a person and a taxing entity (tax debt relief services).”,,,"

New Credit Rules Effective August 22, 2010
"More new rules from the Federal Reserve mean more new credit card protections for you. Here are some key changes you should expect from your credit card company beginning on August 22, 2010:

Reasonable penalty fees

Let's say you are late making your minimum payment.

Today: Your late payment fee may be as high as $39, and you likely pay the same fee whether you are late with a $20 minimum payment or a $100 minimum payment.
Under the new rules: Your credit card company cannot charge you a fee of more than $25 unless:
One of your last six payments was late, in which case your fee may be up to $35; or
Your credit card company can show that the costs it incurs as a result of late payments justify a higher fee.
In addition, your credit card company cannot charge a late payment fee that is greater than your minimum payment. So, if your minimum payment is $20, your late payment fee can't be more than $20. Similarly, if you exceed your credit limit by $5, you can't be charged an over-the-limit fee of more than $5..."

FTC Issues Final Rule to Protect Consumers in Credit Card Debt
"Amendments to Telemarketing Sales Rule Prohibiting Debt Relief Companies From Collecting Advance Fees Will Take Effect in October 2010
Starting on October 27, 2010, for-profit companies that sell debt relief services over the telephone may no longer charge a fee before they settle or reduce a customer’s credit card or other unsecured debt.

“At the FTC we strive every day to make sure America’s middle class families get straight deals for their dollars,” Chairman Jon Leibowitz said. “This rule will stop companies who offer consumers false promises of reducing credit card debts by half or more in exchange for large, up-front fees. Too many of these companies pick the last dollar out of consumers’ pockets – and far from leaving them better off, push them deeper into debt, even bankruptcy.”

Three other Telemarketing Sales Rule provisions to take effect on September 27, 2010, will:

require debt relief companies to make specific disclosures to consumers;
prohibit them from making misrepresentations; an
extend the Telemarketing Sales Rule to cover calls consumers make to these firms in response to debt relief advertising..."

FTC Tips for Consumers Weighing How to Settle Their Credit Card Debts
"Consumers with overwhelming credit card debt may be tempted to seek help from companies that promise to erase their debt for pennies on the dollar, but the Federal Trade Commission urges caution.

In a new consumer publication, Settling Your Credit Card Debts, the FTC says that there is no guarantee that debt settlement companies can persuade a credit card company to accept partial payment of a legitimate debt. Even if they can, clients must put aside money for their creditors each month and may have to pay hefty fees up front to the debt settlement company – putting them further in the hole before they get any relief.

The publication lists additional red flags to watch out for from companies that promise to settle credit card debt, and discusses practical no-cost and low-cost options for help, including dealing with creditors directly and contacting a credit counselor.

To learn more about getting out of the red without spending a whole lot of green, go to ftc.gov/bcp/edu/pubs/consumer/credit/cre02.shtm.

The FTC, the nation’s consumer protection agency, has free information to help consumers with their personal finances. Visit www.ftc.gov/MoneyMatters to learn more..."

Credit Cards, New Rules
"The Federal Reserve's new rules for credit card companies mean new credit card protections for you. Here are some key changes you should expect from your credit card company beginning on February 22, 2010.

What your credit card company has to tell you

When they plan to increase your rate or other fees. Your credit card company must send you a notice 45 days before they can increase your interest rate;
change certain fees (such as annual fees, cash advance fees, and late fees) that apply to your account; or make other significant changes to the terms of your card.

If your credit card company is going to make changes to the terms of your card, it must give you the option to cancel the card before certain fee increases take effect. If you take that option, however, your credit card company may close your account and increase your monthly payment, subject to certain limitations.

For example, they can require you to pay the balance off in five years, or they can double the percentage of your balance used to calculate your minimum payment (which will result in faster repayment than under the terms of your account).

The company does not have to send you a 45-day advance notice if
you have a variable interest rate tied to an index; if the index goes up, the company does not have to provide notice before your rate goes up; your introductory rate expires and reverts to the previously disclosed "go-to" rate; your rate increases because you are in a workout agreement and you haven’t made your payments as agreed..."

New Federal Reserve Rules on Credit Card Practices
"The Federal Reserve Board on Tuesday approved a final rule amending Regulation Z (Truth in Lending) to protect consumers who use credit cards from a number of costly practices. Credit card issuers must comply with most aspects of the rule beginning on February 22.

"This rule marks an important milestone in the Federal Reserve's efforts to ensure that consumers who rely on credit cards are treated fairly," said Federal Reserve Governor Elizabeth A. Duke. "The rule bans several harmful practices and requires greater transparency in the disclosure of the terms and conditions of credit card accounts."

Among other things, the rule will:

Protect consumers from unexpected increases in credit card interest rates by generally prohibiting increases in a rate during the first year after an account is opened and increases in a rate that applies to an existing credit card balance.

Prohibit creditors from issuing a credit card to a consumer who is younger than the age of 21 unless the consumer has the ability to make the required payments or obtains the signature of a parent or other cosigner with the ability to do so.

Require creditors to obtain a consumer's consent before charging fees for transactions that exceed the credit limit.

Limit the high fees associated with subprime credit cards.

Ban creditors from using the "two-cycle" billing method to impose interest charges.

Prohibit creditors from allocating payments in ways that maximize interest charges.

In December 2008, the Federal Reserve adopted final regulations prohibiting unfair credit card practices and improving the disclosures consumers receive in connection with credit card accounts. This rule amends aspects of those regulations to implement provisions of the Credit Card Accountability Responsibility and Disclosure Act of 2009 (Credit Card Act), which was enacted in May 2009..."

Chairman Rockefeller Launches Investigation Into Deceptive Online “Mystery Charges"
"John D. (Jay) Rockefeller IV, Chairman of the U.S. Senate Committee on Commerce, Science, and Transportation today announced a Senate Commerce Committee investigation into certain e-commerce marketing practices that generate thousands of mysterious monthly charges to consumer credit cards.

KEY BACKGROUND INFORMATION

• The source of these puzzling monthly fees appears to be from a group of marketing companies that acquire consumers’ billing information through agreements with popular online retail sites.

• On many well-known websites, including Fandango.com and Orbitz.com, after consumers make a purchase, a hyperlink or “pop up” window appears and offers consumers a cash back reward if they sign up for a company’s online membership service. If consumers accept the offer by providing an e-mail address and clicking a “yes” button, their credit card or debit card account information is automatically forwarded to the company and they are automatically enrolled in the service. And unless the consumer cancels this online membership service, their credit card or debit card is indefinitely charged $9-$12 on a monthly basis..."

FACT SHEET: REFORMS TO PROTECT AMERICAN CREDIT CARD HOLDERS
President Obama signs Credit Card Accountability, Responsibility, and Disclosure Act
"Today, President Obama signs the Credit Card Accountability, Responsibility, and Disclosure (CARD) Act of 2009, marking a turning point for American consumers and ending the days of unfair rate hikes and hidden fees.

Americans need a healthy flow of credit in our economy, but for too long credit card contracts and practices have been unfairly and deceptively complicated, often leading consumers to pay more than they reasonably expect. Every year, Americans pay around $15 billion in penalty fees. Nearly 80 percent of American families have a credit card, and 44 percent of families carry a balance on their credit cards. To tackle these problems, the Administration moved swiftly with the Congress to enact reforms..."

Agencies Propose Clarifications to Credit Card Rules
"The Federal Reserve Board, the Office of Thrift Supervision, and the National Credit Union Administration today proposed clarifications to aspects of their December 2008 final rules under the Federal Trade Commission Act (FTC Act) prohibiting certain unfair credit card practices. The Federal Reserve Board also proposed clarifications to its December 2008 final rule under the Truth in Lending Act (TILA) amending Regulation Z to improve the disclosures consumers receive in connection with credit card accounts and other revolving credit plans..."

Dynamic Maps of Bank Card and Mortgage Delinquencies in the United States
Find institutions with bank card deliquency rates of 60+ days and mortgage deliquency rates of 90+ days.

Committee Examines Role of Credit Cards in the Financing of Small Firms
"Without capital, small businesses can’t grow, and the American economy loses out on their important contributions. In the current economic climate, however, small firms are finding it difficult to secure affordable financing. Today, witnesses told the House Committee on Small Business that as traditional sources of capital diminish—including SBA loans—their credit card use is on the rise.

“When a small firm can’t buy equipment, or has to lay off its workers, our entire economy suffers,” said Chairwoman Nydia M. Velázquez. “These businesses are the principal drivers of our economic growth, but without capital they can’t lead us back to recovery.”

In a recent Federal Reserve survey of senior loan officers, 65% of respondents reported tightening lending standards in the first quarter of 2008. The impact of this move is compounded by federal loan programs—such as the SBA’s 7(a) initiative—which are increasing fees and making it more difficult for entrepreneurs to get financing. Witnesses at today’s hearing noted that because SBA’s programs are falling far short of their intended purpose, they are having to turn elsewhere to meet their capital needs. This has contributed to small firms’ increased use of credit cards—up 14% in the past five years alone."