Some may be asking what took so long. Recent economic news has been positive and 
it appears the recession may be on its last leg but credit card holders are not any happier with their card issuers. Credit cards were handed out over the last decade or so like candy to a toddler. In the process, consumers piled on mountains of credit card debt. Credit cards were overextended, abused and much of our financial system has been overloaded and overburdened as a result. Credit card companies have been running around like chickens with their heads cut off pursuing avenues to maintain their profits.
Recently a JD Power Credit Card Satisfaction survey determined that credit card holders were not exactly pleased with how their business was being handled. On a 1000 point scale the overall satisfaction rate was only 703. Credit card consumers had plenty to be unhappy about and are increasingly growing tired of credit cards and their card issuers draconian policies. In order for card issuers to recoup some of the damage from the new regulations they began to raise interest rates aggressively on cardholders. They’ve started to increase the fees charged for late payments, and they’ve also started to decrease lines of credit aggressively as well. The platinum credit card was truly becoming, well….plastic. The survey brought out many of the hard feelings consumers have with their existing card issuers.
What Really Ticks Consumers Off
The Challenge
Credit card providers realize the value of the information that this survey provided. The credit card is a business like any other. There is competition and those who serve their customers more effectively will have a much better opportunity for success. The Credit Card Responsibility and Disclosure Act was put into place in August 2009 and it laid down some new ground rules. The rule now states that consumers must be notified 45 days prior to their interest rates or various other changes being made to their accounts. In addition consumers must be allowed 21 days to make their payments. If the consumer is not happy with any interest rate hikes or the fees than they have the right to have their accounts closed as long as they pay off their outstanding balances.
And The Winner Is
There is not always a clear winner and loser when it comes to credit cards. The important thing is that credit card providers and credit card users must find a balance that properly serves both parties. Above all, credit card providers have to be more careful about issuing plastic and consumers have to be more responsible when they get them.
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