Quick Credit Cards

In just a few days, credit card companies will have to abide by a string of new laws that restrict them from their old predatory habits. But that doesn’t mean they won’t pull some new rabbits out of their hats in hopes of having you pay more. Yesterday, CNN Money Blogger, Ismat Sarah Mangla, reported that she’d received a notice from Citi announcing a new annual fee on her credit. “Charge more, pay us the fee, or close your account” was the message they’d sent in her in a letter. For now, she’s choosing the fee option in hopes that years of being a good customer will help her get the fee waived later on.

Don’t be surprised if the new fees keep coming. Credit card issuers are banned from raising your interest rate on things like isolated late payments and lower credit scores, but they can introduce new fees as long as they tell you in advance and give you a chance to reject the fee. Choose wisely – agreeing to an additional fee increases the cost of carrying a credit card, but rejecting the fee could mean you lose the credit card and a few credit score points in the process.

The relationship with credit card issuers may be rocky for a few months as they get used to the new rules and as we get used to their response to the new rules. Be sure to read all your credit card inserts and open all your mail, even if it appears to be junk mail. Missing an announcement from your credit card issuer means you’ll miss out on the chance to opt-in or opt-out of credit card changes.

Get details on the new credit card rules.

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