2 on Your Side spoke to Joe Curatolo of Georgetown Capital Tuesday afternoon, where he offered some insight into the Credit Card Act of 2009, which goes into effect in February.
According to Curatolo, there are many positives to the act, including:
- Restrictions on increasing your interest rate
- Requiring customers to approve overdraft transactions
- Statements need to arrive at least 21 days before your due date
- Restrictions on marketing to college students
But some negatives include:
- Re-introduction of annual fees
- Inactivity fee of $19 if you don't use your card often enough
- Monthly fees to get a hard copy of your statement in the mail
- Minimum activity fees (you may be required to spend a certain amount of money a year)
The best advice Curatolo has for people trying to shape up their credit is to look at what kind of card you have. For example, if you travel a lot, it might be a good idea to get a card that helps rack up the frequent flyer miles.