Blunt Votes to Protect Consumers from Credit Card Interest Rate Spikes

Statement

Missouri Congressman Roy Blunt issued the following statement today after voting for legislation, the Credit Cardholders' Bill of Rights Act, to protect consumers by establishing fair and transparent practices relating to the extension of credit:

"Credit card billing cycles can be difficult enough to understand without introductory rates varying from card to card or interest rates changing with little notice. This legislation creates a standard for all companies and will hopefully make things a little simpler for consumers when they open their next statement.

"Missourians are worried about paying their bills while saving for retirement or college and I hope this bill makes doing that a little easier."

NOTE: The legislation passed by both the U.S. House and Senate would:

Prohibit credit card issuers from raising rates retroactively on existing balances;

Require a 60-day notice of any rate increase;

Ban billing on balances for days not included in the last billing cycle as a result of a grace period.

Source