Credit rule changes will begin taking effect this week as a result of the recent passage of the Credit Card Act of 2009 according to Marketplace. This will impact anyone who relies on credit cards as many solo-preneurs do.
The law is aimed at preventing some of the worst abuses of the credit card industry such as mailing a bill at least 21 days before its due date (instead of the current 14) and giving 45 days notice of significant rate changes. Other changes include being given the option to avoid rate increases and paying existing debt under the expiring terms.
Most of the changes go into effect in February 2010.
But that hasn't prevented credit card companies to get in rate increases and hikes in fees, and other changes before new laws take effect.
One strategy being used by many companies to thwart the reforms is changing fixed interest rate cards to a variable rate.
The bottom line is that you have to watch credit card notifications like a hawk, or better yet find some way that you don't have to carry a balance.
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