Pelosi: Credit CARD Act Ends Unfair Penalties, Abusive Practices of Credit Card Industry

WASHINGTON, Feb. 22 /PRNewswire-USNewswire/ -- Speaker Nancy Pelosi released the following statement on new reforms to the credit card industry that take effect today under the Credit Card Accountability, Responsibility, and Disclosure Act of 2009 (Credit CARD):

"Today most of the Credit Cardholders' Bill of Rights will take effect – helping to end the era of unfair penalties and abusive practices by the credit card industry. No longer will America's consumers face credit card industry practices dominated by incomprehensible fine print and hidden fees. No longer will confusing agreements and arbitrary rate increases unfairly punish responsible families and small businesses.

"This bill's commonsense reforms will restore fairness when consumers conduct their day-to-day credit transactions. The legislation holds credit card companies accountable and provides meaningful new protections to consumers.

"The Credit Cardholders' Bill of Rights sends a clear message to the credit card industry that the business-as-usual that saddles consumers with unfair practices is over. Americans who pay their bills on time and play by the rules do not deserve to be the victims of abusive financial practices. At a time when families are struggling, consumers will save at least $10 billion a year from the bill's prohibition on unfair interest rate increases. The steps taken today move us closer to our goal of greater financial security for the American people.

"I commend Congresswoman Carolyn Maloney for her hard work and tenacity in ensuring the success of this legislation."

SOURCE Office of the Speaker of the House