Perriello noted that he has "talked to too many 5th District families who have been blindsided by these teaser rate gimmicks and unfair fee hikes." The Credit Cardholders' Bill of Rights attacks unfair practices of the credit card industry and seeks to protect consumers from tactics that have driven Americans deeper and deeper into debt.
Among its many provisions, the new legislation will require that bills be sent 21 days before the due date. It will prohibit charging fees just to pay a bill by phone, mail or web, and will bans over-the-limit fees unless a consumer opts-in in advance. It contains measures to prevent due-date tricks, and requires payments to be applied fairly to the highest interest rate balance first. Finally, it should strengthen credit card protections for young people.