Federal Reserve has stated that banks are planning to intensify terms on credit cards in response to a recent law that is specifically designed to protect consumers from unexpected increase in rates.
A survey conducted by the Fed showed that most of the banks are planning to increase rates, reduce credit limits and move up annual fees for not only prime borrowers having good credit histories but also risky “non-prime” borrowers,
Banks have already started to increase the rates. Therefore, house is trying to bring new law into action as soon as possible.
