While it is already to late for many people who have endured massive interest rate increases during the past year to benefit from the protections provided by the new credit card laws, consumers still need to keep a watchful eye on any mail that comes from credit card companies. Arbitrary rate increases as well as other changes in terms are still legal for the next month, so even if you’ve managed to escape a 29.99% rate increase so far, there’s still a chance you could be hit in the next month.
Some banks, including Bank of America, vowed to stop rate increases back in September. Other banks, however, have made no such assurances. This could lead to a mad last minute rush to raise rates on consumers before the deadline, so caution is advised.
Ultimately, there is very little that can be done to prevent an arbitrary rate increases (after all, they are arbitrary). However, if you’ve been hit with an unfair or unreasonable interest rate increase, now is a good time to evaluate 0% balance transfer offers while it is still possible to get 0% interest rates for up to 12 months. Once the new laws take effect, credit card companies may cease offering generous 0% deals and people hit with rate increases will have little option but to pay off their balances at astronomically high interest rates.
-Jeffrey Weber
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