BACK

Research and Statistics

Fed meeting this week to consider new credit card rules

Summary

The Federal Reserve Board will meet in Washington, D.C., this week to vote on sweeping new credit card industry regulations.

The content on this page is accurate as of the posting date; however, some of our partner offers may have expired. Please review our list of best credit cards, or use our CardMatch™ tool to find cards matched to your needs.

See the latest developmentsRegulators issue sweeping new credit card rules

Federal regulators will meet this week to vote on the most significant changes in credit card rules in nearly three decades. Banking industry officials and consumer groups expect the final rules — which seek to improve disclosure on credit card terms and ban unfair and deceptive practices — will largely mirror those proposed in May.

The Federal Reserve Board of Governors will meet at 2:30 p.m. Eastern Dec. 18 at the Fed in Washington, D.C., to consider the final rules. (See: What the new credit card rules may mean for you.)

If approved, the rules could help millions of credit users avoid interest charges, late fees and other credit card traps criticized by members of Congress, consumer groups and cardholders. Issuers would also lose the ability to raise rates on old debt. Banks and credit card issuers have said the new rules could mean less credit and higher interest rates for all consumers because the proposal will limit lenders’ ability to re-price credit card terms when borrowers become more risky.

Credit card issuers are resigned to accept the Fed’s regulations. “They have constructed a new stadium and and we are all going to have to play ball in it,” says Peter Garuccio, spokesman for the American Bankers Association.

“The general sense of our members is the rules are coming,” Garuccio adds. “It will create an entire new environment for credit cards.”

To comment on this article, write to: Editors@CreditCards.com.

See related: Regulators issue sweeping new credit card rules, What the new credit card rules mean for you, What the new credit card rules don’t cover, How to cope with credit cards until the new rules take effect, House passes Credit Cardholders’ Bill of Rights, Fed backs rules to curb deceptive credit card practices, Fed moves to close timing loophole in credit card payments, Senate banking chairman: Credit card reform on tap, Proposed credit card rule changes draw massive response, Poll: Nearly 3 in 4 feel need for more credit card regulation, Obama will usher in credit card reform, observers say

 

Editorial Disclaimer

The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners.

What’s up next?

In Research and Statistics

FTC settles case against fee-harvesting credit card issuer

Florida-based company used fast-talking computerized voice to deceive consumers, federal agency alleges.

See more stories
Credit Card Rate Report Updated: November 25th, 2020
Business
13.91%
Airline
15.50%
Cash Back
15.85%
Reward
15.75%
Student
16.12%

Questions or comments?

Contact us

Editorial corrections policies

Learn more