Tester statement on report of credit card reform saving Americans $5 billion this year
Senator helped write credit card reform law
(WASHINGTON, D.C.) – Senator Jon Tester today released the following statement in response to a USA Today analysis of the credit card reform law Tester helped write, which shows the reform is saving Americans $5 billion this year alone:
“This report shows tough new rules on credit card companies are working, saving folks billions of their hard-earned dollars. When we passed this law, we brought accountability and common sense to the way these companies do business, doing away with hidden fees, unfair interest rates, and confusing small print. And we did it by working together.”
Tester, a member of the Senate Banking Committee, helped write the Credit Card Accountability, Responsibility and Disclosure law to reign in the abusive practices of the credit card industry.
Tester included language in the bill banning the practice of increasing interest rates on customers even if they pay their credit card bills on time—an industry practice known as “universal default.”
The credit card reform law also:
- Bans unfair interest rate hikes,
- Gives cardholders an extra week to pay their bills,
- Requires more notice for contract changes,
- Stops credit card companies from exploiting young Americans,
- Makes statements easier to read and understand.
More information about the Credit CARD Act is available on Tester’s website at tester.senate.gov/card.