Washington, DC - Congressman Wm. Lacy Clay (D) Missouri applauded today’s final passage of H.R. 627, the Credit Card Holders Bill of Rights by a huge bipartisan majority of 361 – 64. The sweeping consumer protection act now goes to President Obama for his signature.
 
“Today, we acted to protect every consumer who carries a credit card.  For far too long, hard-working Americans have been victimized by deceptive fees, uncontrolled interest rate hikes, and abusive practices which drive families deeper into debt,” said the Congressman.  “This bill levels the playing field and returns fairness, plain language and transparency to the credit card industry.” 

Key provisions of the Credit Card Holders Bill of Rights:

Bans most interest rate increases on existing balances and ensures notice of interest rate hikes going forward on new purchases;

Requires that bills be sent 21 days before the due date;

Prohibits charging fees for payments by phone, mail or web;

Bans over-the-limit fees unless a consumer opts-in in advance;

Bans due-date tricks;

Requires payments to be applied fairly to the highest interest rate balance first; and,

Strengthens credit card protections for young people, preventing them from starting out life with huge credit card debts.

President Obama plans to sign the Credit Card Holders Bill of Rights before the Memorial Day recess.