Credit Card Consolidation Loan Celebrates the Good News that the Credit CARD Act 2009 Led to Better Payment Behavior

Share Article is celebrating the report from Buffalo News that the CARD Act’s mandated minimum payment warnings on card statements is producing card holders with better payment behavior.

Credit CARD Act states that credit card companies should place a warning about sticking to minimum payments.

Credit Card Consolidation Loan is happy to note that the fruits of lawmakers’ labor are producing positive results. They have done a great job with the Credit Card Act 2009. One of the specifications of this law mandates credit card companies to include a boxed warning about minimum payment and this is apparently producing better behavior in consumers.

According to the article released by Buffalo News entitled “Warning on credit card bills has boosted payments,” the minimum payment warning may prove to be the most important information on every credit card statement. While the balance is important, the published article believes that it may be the warning that will prompt consumers to practice the right payment behavior. Credit Card Consolidation Loan agrees with this sentiment and advises consumers to never assume that minimum payments are enough.

The Credit Card Accountability Responsibility and Disclosure Act 2009 or Credit CARD Act states that credit card companies should place a warning about sticking to minimum payments. In Sec. 201. Payoff Timing Disclosures, it mentions that credit card companies should include the written statement: “Minimum Payment Warning: Making only the minimum payment will increase the amount of interest you pay and the time it takes to repay your balance.” The card companies may alter the words but the same message must be clear.

Most credit card companies follow this rule and have gone to include the specific interest amount and payment term that the cardholder will go through if they only pay the minimum requirement every month. The CARD Act also specifies that the statement should include how much the consumer will pay every month if they wish to complete the debt payment in 3 years or 36 months. This option will provide the consumers with a better idea of how they can get themselves out of debt.

The Buffalo News article also stated that the Consumer Action conducted a survey that showed how consumers responded well to this information. Their survey indicated that 45% of their respondents paid higher than the minimum because of this warning.

Of course, proposes another way of paying off credit card debt. They advise consumers to get a loan, pay off their credit cards and enjoy the convenience of having only one debt to monitor every month. This solution is marked by a low interest rate and if done with Credit Card Consolidation Loan, they will benefit from a consolidation plan that has a flexible schedule.

To know more about using debt consolidation loan on credit card debts, visit

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Sandra Doyle
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