The Federal Reserve Board announced few rules and regulations for the banks who issues credit cards to customers. These rules were made to remove unfair credit card practices. Later in a couple of months the Credit Card Accountability, Responsibility and Disclosure Act of 2009 will be made effective along with the other rules.
The changes in the rules along with their effective date give the bank a grace period to pay their profits in order to make up with the losses.
As appears in the New York Times editorial, 'The Last Minute credit card Tricks' had made it appears that they would get enough amount of time to reprogram the new laws and regulations.
Settlement companies drive outrageous interest rate which pushes the customer more into debts. The pew safe credit card project has determined that credit card interest raise by 20% in the year 2009. Banks are creating new ways to hide fees and manipulate loopholes. This is carried on to expand their profit margin even after the new laws become effective.