Debt Settlement Info - What Obama's Credit Card Debt Legislation Means For You

Credit card reform legislation passed by the Federal Government can assist thousands in getting enrolled into a Debt Settlement program that can get them out of debt in as little as 12-36 months.
By: Mark Jameson
 
March 11, 2010 - PRLog -- One of the most significant consequences of the credit card reform legislation passed by the Federal government is that you will no longer be treated as a stranger as far as your financial rights are concerned. For a very long time, credit cardholders have been treated as if issuers are doing a favor by offering them a credit card.

The terms and conditions were altered whenever it suited credit card issuers. Whenever the economy faced trouble, interest rates increased. However, interest rates never came down once the trouble ended.

Card issuers did not think twice about the consequences of their changes and decisions. They never paused to think about the huge number of bankruptcies that they were creating. However, all that is set to change. The primary focus of the credit reform legislation is that no change that will affect the cardholder negatively should be made without the card holder's consent.

If the change does not appeal to you, you can insist that the card issuer terminate relationship. Once this is done, the balance amount will have to be repaid in a phased manner over a period of 1 to 3 years depending on the total amount owed. You can switch to some other credit card that offers beneficial terms and conditions.

The fact that card issuers had taken borrowers for a ride for a very long time compelled the government to step in with this fantastic relief option. Credit cards were the primary reason why people were opting for bankruptcy- this was an important factor. Many cases of bankruptcy occurred even where the individual was at no fault. All this made reform essential and unavoidable.

As far as practical implications are concerned, you should be prepared for better deals from your card issuers as far as your rights and its protection is concerned. However, you should also be prepared for higher charges and more expensive credit options.

Lenders will definitely try to retaliate and express their displeasure against the strict norms imposed on the credit card issuers. You should just make use of the intense competition between the various service providers to extract the best possible deal. In any case, you will find it easier to control your runaway credit card debt a lot faster once the reform act is in place.

If you intend to go in for a card, make sure you educate yourself about the various changes made to the law before taking a final decision.

http://www.Eliminate-Debt-Today.com

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If you are one of the millions of Americans who has over $10,000 in unsecured debt, it is time you found out about the debt settlement options available to you. Due to the current economy an overwhelming amount of people are in debt, creditors are having no choice but to agree to debt settlement deals.

http://www.Eliminate-Debt-Today.com
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Source:Mark Jameson
Email:***@eliminate-debt-today.com Email Verified
Tags:Settle, Debt, Settlement, Settling Debt, Debt Settlement, Debt Relief, Debt Management, Credit, Card, USA, Loan, Advice
Industry:Debt relief, Personal finance, Debt management
Location:Los Angeles - California - United States
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Page Updated Last on: Mar 11, 2010



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