The full name of this law is the Credit Card Accountability, Responsibility and Disclosure Act of 2009. It is more commonly referred to as the Credit CARD Act. The U.S. Congress passed this act in May of 2009, and it was signed into law by President Obama shortly thereafter. It’s an amendment to the Truth in Lending Act, which was created back in 1968.
This law is designed to protect consumers from the abusive practices of the credit card industry. These regulations will prevent a variety of abusive penalties, fees, interest rate changes, and other money-making “tricks” that have been used for years. In short, the new laws prevent card issuers from taking advantage of consumers.