News Alert! On February 22, 2010, the new Credit Card Reforms Act (CARD) was implemented and it looks as if payday loans have a promising future. The newly enacted document is enforcing some very rigorous rules on credit card agencies in order to protect the rights of consumers against unclear credit stipulations, ever changing interest rates and ill-advised decision making. Wi! th these changes in effect, banks will focus on lending to people with near to perfect credit, possibly causing many consumers with shady credit to seek alternative types of loans including instant payday loans.
What the New Credit Card Reform Does For the Consumer
The new credit card reform, which came into effect this year, forbids credit card companies from increasing high interest rates to consumers whenever they like; however, there are other fees that have to be accepted by consumers such as the zero balance and inactive card fees. On account of this, credit card companies are frequently tightening up lending to customers, especially to those with not so good credit. This is being done to reduce the risks involved in lending, especially when it comes to charging ridiculously high interest rates to paying customers as a reimbursement for losses. This is one of the main reasons why payday loans are so attractive and one of the most popular means of acquiring money. ... click here to read the res! t of the article titled "New Credit Card Reform Opens the Need for More Payday Loans"