consumer debt and credit laws
Consumer debt and credit laws are designed to protect consumers from illegal and unethical behavior! One of the most important credit and debt laws is the fair debt collection practices act (FDCPA). Other important laws include the fair credit reporting act, credit repair organization act, truth in lending act and the fair credit billing act. Each of these credit laws outline your consumer rights.
|Electronic Funds Transfer Act
Electronic Funds Transfer Act applies to funds transferred between electronic terminals. Learn how to correct errors and what to do about loss or theft; how to correct errors, what to do if someone steals money from your account and your liability.
|Equal Credit Opportunity Act (ECOA)
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against applicants on the basis of race, color, religion, marital status and age.
|Truth in Lending Act!
The Truth in Lending Act is designed to protect consumers when using credit! It requires “meaningful disclosure of terms” and reflects a shift in emphasis from “let the buyer beware” to “let the seller disclose.” It is designed to protect consumers against inaccurate and unfair billing practices too!
|Fair Credit Billing Act
The Fair Credit Billing Act requires creditors, before opening any account under an open end consumer credit plan, to disclose information about interest rates, and many other terms of the contract: Learn about your rights and the rules about Billing Errors, Defective Goods, Refunds, Lost Cards, and many other little known rules!
|The Fair Credit Reporting Act
The Fair Credit Reporting Act is designed to protect consumers against unfair reporting practices by creditors and debt collectors! See this in-depth review of this important law including the 2004 amendments!
The real cost of credit
Find out what credit really costs? For instance, the finance charge is the total dollar amount you pay to use credit. It includes interest costs, and other costs, such as service charges and some credit–related insurance premiums. Borrowing $100 for a year might cost you $10 in interest but if there is also a service charge of $1, then the finance charge would be $11. The annual percentage rate (APR) is the percentage cost (or relative cost) of credit on a yearly basis. This is your key to comparing costs, regardless of the amount of credit or how long you have to repay it.
Applying for credit? Learn about your rights here!
Learn what creditors look for! Special Rules if you’ve been turned down…and other rights including discrimination protection. Bank look for the ability to repay debt and a willingness to do so, and sometimes for a little extra security to protect their loans, they speak of the three C’s of credit . . . Capacity, Character, and Collateral.