People will start seeing important changes on their credit card statements that could result in better debt management skills in the long term for many of them.

Under the terms of the federal Credit Card Accountability, Responsibility and Disclosure Act, lenders must now provide people with information on their monthly statements about how long it would take to pay down their total balance by just making minimum payments. Related information on the statements will show consumers how much their monthly payments would have to be in order to pay down a balance in three years.

This is important because many consumers may not be aware that for some balances it can take years if not more than a decade to pay down a balance with minimum payments – especially if higher interest rates are also attached to the account.

A recent announcement from the National Foundation for Credit Counseling noted that the monthly statements will also include a phone number where people can consult with a reputable nonprofit credit counseling service.

By providing such information, the government legislation aimed to help boost people’s chances of avoiding predatory credit companies that often require high payments in exchange for doing little more than ruining one’s credit score.

More Credit & Debt Articles | News Home | Discuss in our Forum

Consumers will soon have more information about the long-term costs of their credit card debt.

Related Articles

• Points earned through credit card debt accounts can be used to help those afflicted by Haitian earthquakes &nbsp&nbsp01.29.10
• There are ways for people to cut down on credit card debt after holiday spending &nbsp&nbsp01.29.10
• Economic recovery a mixed bag for many Americans &nbsp&nbsp01.28.10
• Consumers should keep certain things in mind when borrowing against 401(k) to pay off debt &nbsp&nbsp01.28.10
• Credit cards see charge offs fall in December, though numbers could still see increase this year &nbsp&nbsp01.28.10
• Sticking to cash may help some consumers dealing with debt management issues &nbsp&nbsp01.27.10
• NRF: Interchange fees cost consumers and retailers &nbsp&nbsp01.27.10
• Debt management problems may lead to situation where stress affects health &nbsp&nbsp01.27.10

Insight and Guidance for Smart Choices^® 

About Us | Press | Affiliates | Privacy Policy | Terms of Use | Site Map | Opt Out

Free Credit Report | Loans | Auto Loans | Debt Consolidation
Home Loans | Credit Score | Credit Cards | Personal Loan | Learning Center
© 1996-2010 Credit.com, Inc. All rights reserved.

• Cards by Credit Score
• — Excellent Credit
• — Good Credit
• — Fair Credit
• — Bad Credit
• — No Credit
• Credit Card Rewards
• — Airline Miles
• — Cash Cards
• — Reward Points
• — Gas Cards
• Low APR
• Balance Transfer
• PrePaid Cards
• Secured Cards
• Business Cards
• Student Cards

• Free Trial Credit Reports
• 3 Credit Scores & 3 Reports
• 3 in 1 Credit Report
• FICO Scores
• Credit Monitoring
• Identity Theft
• Credit Report Comparison Chart

• Personal Loans
• Home Loans
• Student Loans
• Loan Status
• Loan Comparison Chart

• Free Debt Consultation
• Debt Consolidation Loan
• Debt Help Product Comparison

Similar Posts:

• Consumers also responsible for credit card security
• Consumers should educate themselves about credit cards
• Offers for credit cards sent through snail mail increase in 4Q of last year
• Sticking to cash may help some consumers dealing with debt management issues
• Some consumers feeling confident about their own debt management abilities despite their feelings on the state of the economy