The Credit Card Accountability Responsibility and Disclosure Act of 2009 (the “CARD Act”) went into effect on March 22, 2009, but Congress exempted business credit cards.
This new consumer protection law changed the game for credit card companies and consumers, as we blogged about in 2009.
So two years into application of the new law, business credit card users remain at risk for many of the dangers Congress targeted with the CARD Act, reports the Pew Charitable Trust.
Consumers no longer risk exposure to two-cycle billing, unilateral APR increases, and certain fees. But since business cards lack these protections, and many business cards are still backed by their holders’ personal credit, credit card companies have kept a “back door” open to the old practices.