Credit Card Bill of Rights Flashcards
What are the 5 circumstances an interest rate on a credit card can change?
- Becoming 60-days delinquent
- After 12 months of account opening with 45 days’ notice
- Interest rate is tied to a variable index
- Introductory rate concludes
- Not following terms of debt management agreement
When can you request your interest rate to be lowered after it was raised due to delinquency?
You can request a reduction after making 6 consecutive payments on-time
This request must be evaluated within 45 days
You cannot be subject to fees (excluding penalty fees) totaling more than ____ % of your credit card’s initial limit during the first year your account is open?
25%
This cap does not apply to fees assessed before an account is opened
You cannot be charged a penalty fee in excess of $___ unless one of your last ___ payments was late (in which case a fee of up to $___ may apply)?
$29
6 payments
$40
A late fee cannot exceed your ____ payment?
Minimum payment
You cannot be charged with an over-limit fee that is more than the ____ by which you exceeded the limit?
Amount
You cannot be charged more than ___ fee for any single event or transaction that warrants a penalty?
One
You cannot be assessed fees for account ____?
Inactivity
You are liable for, at most, $____ if your card is lost or stolen?
$50
Credit card companies must disclose a card’s ____ in writing?
Terms
- APR
- Annual fee
- Interest-free periods
Credit card companies must provide at least ____ days’ notice before changing your account’s fee structure or interest rate and prior to making other significant changes to your terms?
45
What circumstances does a credit card company not have to notify you in writing?
- Variable interest rate changes
- Introductory rate concludes
- Regular rate begins
- rate increases due to not following terms of debt management agreement
Your credit card company must explain the reasoning behind any ____ ?
Interest rate increases
Credit card companies must denote clearly on your bill how long it will take to pay off your balance when ____ and how much you would have to pay monthly in order to be at a zero balance within ____ years?
Minimum payment
3 years
Lenders must use ____ to calculate the cost of credit and must ____ this cost?
Uniform methods
Disclose
You have the right to dispute payments within ____ days of the date on the account statement that included the initial potential error.
Your credit card company must acknowledge the dispute within ____ days and either correct the mistake or send a letter explaining why there was no error within ____ days.
60 days
30 days
90 days
You must ______ to allow purchases that exceed your credit limit?
Expressly agree
The amount of your payment above the minimum payment must be applied to the balance with the ____ interest rate?
Highest
The minimum payment amount is applied to the balance with the ____ interest rate?
Lowest
If you made a purchase with a ____ interest rate you may be given the choice of applying your monthly payments to this balance before the interest kicks in?
Deferred
If not given the option, the payments for the two billing periods prior to the end of the no-interest period will be applied to this balance.
Your credit card company must mail your bill at least ____ days before it is due?
21
Payment cannot be required to be placed prior to ___ p.m.
5 p.m.
If your payment date falls on a ____, you have until the ____ following the holiday to make payment?
Holiday
Day following the holiday
Mistakes on your bill must be ____ and may not ____ your credit score?
Corrected
Damage
If you are under ___ years old, you must exhibit ____ ability or have a ____ in order to open a credit card?
21 years old
Payment ability
Co-signer
Credit card companies must _______ before issuing you a credit card?
Evaluate your income
You may not be discriminated upon based on the following 6 reasons?
- Sex
- Race
- Religion
- Marital Status
- Age
- National Origin
You cannot be discriminated against because you receive _______?
Public Assistance
You cannot be issued an ______ credit card?
Unsolicited
Debt collectors must _____ themselves in every communication?
Identify
Debt collectors must apprise you of your right to ____ your debt?
Dispute
Debt collectors must provide ______ for the creditor from whom the debt originates within ____ days of receiving a request for such information?
Contact information
30 days
Debt collectors must mail you ____ of your debt or stop the collections process within _____ days of receiving a dispute or request for debt verification?
Verification of your debt
30 Days
Debt collectors may only call you between ____ a.m. and ____ p.m.
8 a.m.
9 p.m.
Debt collectors may not use the telephone to intentionally _______ you?
Annoy or harass
Debt collectors may not attempt to contact you at ____ if your _____ has forbidden the practice?
Work
Employer
Debt collectors may not use ______ language?
Abusive or profane
Debt collectors may not ____ you after you have requested in writing that they not do so?
Contact
Commu expressing the conclusion of collections efforts, or the filing of a lawsuit are permitted.
Debt collectors may not contact you if you have made it known that you are represented by an _____?
Attorney
Det collectors may not _____ themselves or the _____ of your debt?
Misrepresent
Extent
Debt collectors may not publish your ____ or ____?
Name
Address
Debt collectors may not threaten _____ if it is not actually being contemplated?
Legal Action
Debt collectors may not share information about your debt with ____, excluding ____ and ____?
Third-parties
Attorneys
Your Spouse
Debt collectors may not send you mail with any _____ or _____ indicating that you are in debt collections?
Symbols
Writing
Debt collectors cannot relay or threaten to relay _____ to credit reporting agencies?
False information
You have the right to ____ debt collectors in state or federal court?
Sue
Consumers have the right to _____ of their credit reports from the ____ major credit reporting agencies every ____ months?
Free Copies
Three
12 Months
Negative information must be removed from your credit reports within ___ - ___ years?
7 to 10 years
If the information on a credit report leads to _____ action against a consumer, the organization that used the information must notify the consumer of this fact and identify the source of the information?
adverse (negative)
List the limitations for credit card fees?
You cannot be subject to fees (excluding penalty fees) totaling more than 25% of your credit card’s initial limit during the first year your account is open. This cap does not apply to fees assessed before the account was opened.
You cannot be charged a penalty fee in excess of $29 unless one of your last 6 payments was late (in which case a fee of up to $40 may apply).
A late fee cannot exceed your minimum payment amount.
You cannot be charged with an over-limit fee that is more than the amount by which you exceeded the limit.
You cannot be charged more than one fee for any single event or transaction that warrants a penalty.
You cannot be assessed fees for account inactivity.
You are liable for, at most, $50 if your card is lost or stolen.
