Bill prevents credit card companies from raising rates on consumers until Card Act takes effect

November 10, 2009

Washington D.C. – Nevada Senator Harry Reid is cosponsoring a bill that would freeze credit card interest rates on existing balances until provisions of the Credit CARD Act take effect in February 2010.  Specifically, the legislation stops credit card companies from increasing the annual percentage rate, fee, or finance charge on an outstanding balance, or from changing the terms on repayments of outstanding balances.

“Nevadans are struggling and they need help,” Reid said.  “I’m pleased to sponsor the Credit Card Rate Freeze Act because it fights back against unfair lending practices that hurt consumers, and helps Nevadans keep more of their hard-earned money.”