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Authors

Curtis Arnold
Curtis Arnold, Editor-in-Chief
Joe Taylor
Joe Taylor Jr., Reporter
Amber Stubbs
Amber Stubbs, Managing Editor

Credit Card Interest Rates Fees

  • American Express in trouble over late fees

    American Express is facing legal action because it overcharged cardholders for late fees, the company said in a regulatory filing to the U.S. Securities and Exchange Commission. The Federal Deposit Insurance Corp. (FDIC) has announced it is looking into "formal enforcement action" against the company's bank, Centurion Bank. The Consumer Financial Protection Bureau and the [...]

  • Visa, MasterCard plan new merchant bank service fees for April 1

    Unintended consequences from the Dodd-Frank Act could raise prices at retail stores after April 1. That's the deadline Visa and MasterCard set for new rates they charge merchant banks that process credit card transactions on behalf of retail stores, service providers and other businesses. According to a Dow Jones Newswires report, the payment platform providers [...]

  • United Arab Emirates caps credit card interest at 18 percent

    An Arab nation's move to curb its citizens' credit card debt could inspire American lawmakers to cap interest rates, according to a recent Time report. Despite Sharia rules that prohibit Islamic banks from charging interest, many credit card users in the United Arab Emirates pay service charges that amount to a 36-percent annual percentage rate, [...]

  • Cabbies protest credit card fees in San Francisco, Philly

    The debate over credit card interchange fees has taken to the streets of San Francisco, where taxi cab drivers have challenged city rules about accepting plastic from passengers. A city-commissioned study reviewed the results of a pilot program that allowed taxi cab companies to pass along the cost of credit card transaction fees to drivers, [...]

  • Credit card users get real checks in the mail

    After years of warning Americans to avoid cashing mystery checks from the mailbox, consumer advocates have an important message for almost anyone who used a credit card overseas between 1996 and 2006. That $18 check showing up from the Foreign Currency Fee Litigation Settlement Fund is actually real. Trial attorneys led a fight to reclaim some [...]

  • Retailers sue to shrink debit card transaction fees

    Organizations representing restaurants, retailers and gas stations joined a lawsuit against the Federal Reserve that challenges debit card transaction fee limits required under recent federal legislation. According to court documents filed this month, lead plaintiff NACS (formerly the National Association of Convenience Stores) asserts that the specific rules implemented by the Fed fail to adhere [...]

  • Durbin saves small businesses $1.8M in 3 days

    Proponents of the Durbin Amendment to the Dodd-Frank Act claimed that capping debit card transaction fees would create a trickle-down effect for both small businesses and consumers. This month, one of the country's largest credit card processors released specific details about the new regulation's impact on its customers. In a statement to reporters, representatives from [...]

  • Judge delays rule restricting fees on secured credit cards

    "Fee harvester" credit card offers could return to American mailboxes after a court ruling postponing changes to the Federal Reserve Board's Regulation Z. Board governors rewrote the "Truth in Lending" regulation in response to 2009's Credit CARD Act, restricting card issuers' signup and setup fees to no more than 25 percent of a new account's [...]

  • Citizens Bank offers zero-interest credit to Irene victims

    Those who have been affected by the destructive force of Hurricane Irene now have a light at the end of the tunnel, thanks to a set of generous offers from Citizens Bank. This national bank has opened its doors to consumers, small businesses and nonprofit groups who need a quick influx of cash, helping them [...]

  • US credit downgrade could raise credit card rates

    A poor personal credit rating can have wide-ranging implications, from being passed over for a new job to qualifying for only high-interest card offers. As the United States endures its own credit rating decline, the impact on consumers could be just as diverse. One thing seems evident; credit card interest rates will rise. Most credit cards [...]

  • Visa, MasterCard settle anti-steering lawsuit, AmEx continues the battle

    Visa and MasterCard may have put "steering" challenges behind them, but American Express continues to fight merchants for access to consumer purchases at the checkout lines. According to a Wall Street Journal report, Visa and MasterCard settled government allegations of unfair practices related to retail debit and credit card processing rules. Although company officials and [...]

  • Fed splits the difference on debit card fee caps

    The Federal Reserve split the difference in the debate over debit card transaction fees this week, setting a flexible interchange fee cap much higher than the hard limit retailers requested, although still significantly lower than current charges. The Fed's ruling sets a base maximum rate of 21 cents per transaction, plus up to 0.05 percent [...]

  • Senate upholds Durbin swipe fee limits on debit cards

    A bipartisan Senate coalition failed to raise enough votes to stall the implementation of new rules that would limit the fees banks charge retailers to process debit card transactions. Only 54 of the required 60 Senators voted for a further amendment to 2010's Dodd-Frank financial overhaul act that would delay the fee cap for up [...]

  • How will swipe fee limits affect credit card holders?

    Merchants and credit card companies are still fighting it out over the planned reduction of swipe fees, a rule by the Federal Reserve that will limit the excessive fees currently charged by banks and credit card companies with each swipe. The proposed cap is being promoted as a way to save consumers money at retail stores, [...]

  • San Diego Lawyer Sues Credit Card Issuer Over Rate Increase

    One San Diego attorney isn't giving up his credit limit without a fight. A report in the Huffington Post profiles Ben Pavone, a Bank of America accountholder who uses a high limit credit card to smooth out the cash flow for his legal practice. When Pavone requested a slight increase to his credit line during [...]

  • Weekend Due Dates and Online Credit Card Payments Cause Late Fees

    Making a credit card payment through a lender's website has become simple and seamless for most consumers. However, the way a bank's processing system has been set up can cause unexpected late fees for customers who don't double check their payment requests. One California resident discovered this the hard way, when her credit card company charged [...]

  • Facebook Friend Lists Could Impact Credit Card Interest Rates

    Recent reports in the San Francisco Chronicle and in Fast Company magazine profiled a startup company with a service that might surprise most credit card holders. Rapleaf scours social networking sites like Twitter, MySpace, and Facebook for publicly disclosed information about hobbies, personal interests, and friendships. By matching account files from client companies with data gathered [...]

  • Kansas Town Signals Move for Municipal Credit Card Convenience Fees

    Officials in Hutchinson, Kansas have started charging convenience fees when collecting payments for city services by credit card. State lawmakers exempted cities like Hutchinson from a ban on charging credit card users for the privilege of paying bills with plastic. Banking industry analysts expect the practice to become more widespread as other municipalities relax restrictions [...]

  • Record-Breaking Subprime Credit Card Interest Rate Raises Debate

    Subprime credit cards often charge steep annual fees and service charges in exchange for providing accounts to borrowers with bad credit. However, with new banking regulations capping account charges to a maximum of 25% of a card's credit limit, some lenders have devised creative solutions to maintain high fees on poor credit accounts.Sioux Falls-based lender First [...]

  • Some Credit Card Holders Must Choose Between Extra Fees or Lower Credit Scores

    A wave of new service fees has credit card customers asking whether the benefits of keeping a dormant credit card open are worth the price. According to a recent Bloomberg report, Fifth Third Bank altered its customers this summer that it would institute new inactivity fees for most of its credit cards. Fees for maintaining [...]

  • Federal Reserve Study Shows Banks Tightening Credit Card Approvals, Increasing Rates and Fees

    The Federal Reserve issued a statement this month that essentially agrees with the findings of private studies and journalists about the state of the credit card industry. Releasing results from its quarterly survey of banks to journalists, the Federal Reserve noted that more banks rely on fees and finance charges from cardholders in good standing [...]

  • Convenience Store Owners Protest Credit Card Fees

    Capitol Hill played host to an unusual group of protesters this fall, according to a recent report in U.S. News and World Report. Thousands of 7-Eleven convenience store franchisees and their staff members rallied in Washington to support proposed legislation that would change the structure of interchange fees on electronic payment platforms.Typically, merchant banks charge [...]

  • Capital One Confirms Credit Card Interest Rate Freeze

    Capital One sends millions of letters every month, but none as welcome as the letter received this week in October 2009, by a Colorado lawmaker. In the letter, a Capital One president assured Representative Betsy Markey that his company would not be raising interest rates on its credit card accounts in advance of new lending regulations [...]

  • Bank of America Testing Reward Credit Card Annual Fees

    Bank of America officials told reporters this week that they would begin testing annual fees on some of their most popular reward credit cards in 2010. Spokesperson Betty Riess told the Associated Press that the test would apply to just one percent of the bank's current reward credit card accounts.Credit card rewards programs often leave [...]

  • Credit Card Holders Call Repricing Unfair

    Credit card companies have lost the confidence of a majority of Americans, according to a leading market research report. The Cardbeat report, published by Auriemma Consulting Group, surveyed over 500 credit card users in June. Most respondents experienced credit card repricing, one of the most common effects of the recently enacted Credit CARD Act. One in [...]

  • Credit Card Rate Increases on the Rise

    The latest buzzword in banking circles may have analysts applauding, but it leaves customers worried about the value of their credit cards. Banks can use "credit card repricing" to prepare for new regulations in early 2010. Because those new laws restrict lenders' abilities to adjust interest rates and service fees, many card issuers started hiking [...]