If you use a credit card you will now see some big changes in the way the card companies handle your account. The new rules are intended to eliminate what many have labeled as egregious predatory practices.
Consider This: The new rules are good news for consumers and will make it much easier to understand what interest rate you are paying and will apply those payments to the balance with the highest rates. You will also see how long it will take for you pay off our balance if you pay the minimum amount.
For example, in an NBC News report they shared that a balance of $10,000 would take 48 years to pay off at a cost of $37,000. That will get your attention and after the initial shock wears off it might make all of us reconsider using a credit card at all. Another improvement is that payments are due the same day each month so families can better budget their finances.
Let's hope these improvements help all of us do a better job managing our money and that the credit card companies resist adding additional fees and raising interest rates to try to make up the difference. We shouldn't hold our breath on that one.
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