Big News–the US Congress has finally come to the aid of credit card holders–we may all take a moment to rejoin and say a small prayer.

As of 21 May 2009 the credit card bill has been approved and passed by the House and the Senate and now awaits the official signing ceremony.  But what does the law require the companies to do?

Good question!

Basic provisions of the new credit card law.

1. • Companies are prohibited from raising interest rates on existing balances unless a cardholder is 60 days past due.
2. • Card companies can’t raise interest rates for the first year after an account is opened.
3. • At least 45 days’ notice is required for a rate hike.
4. • No over-the-limit fees except for cardholders who sign up for programs allowing transactions that would put them over their credit limit.
5. • Consumers under age 21 would only be able to get a credit card with a cosigner or proof they can pay their bills.
6. • Card bills must explain how long it would take to pay off the balance and how much interest would be paid by cardholders who make only the minimum monthly payment.

All looks pretty good, huh?  Take a closer look, people.  After about 45 days the companies are allowed to return to screwing you into poverty.  It will protect underaged people from the predatory pracxtices of the past, which will mean less monetary kick backs to the colleges.

This whole exercise is in futility–the companies will not lose that much revenue from this laand the people will still have to keep a jar of Vasoline handy.