Recently, consumers were alerted to the implementation of new federal rules expanding credit card holders’ rights. These new rights, which take effect next February, arm consumers with more flexibility in dealing with credit card companies. Consumers should also be aware that there are free tools available right now to help them maintain good credit.
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Recently, consumers were alerted to the implementation of new federal rules expanding credit card holders’ rights.  These new rights, which take effect next February, arm consumers with more flexibility in dealing with credit card companies.  Consumers should also be aware that there are free tools available right now to help them maintain good credit.

The Credit Card Accountability, Responsibility and Disclosure Act, which passed into law in May, will provide credit card users an additional 7 days (rising from 14 to 21 days) to pay their monthly credit card bills before the threat of late fees.  Card holders will also be given 45 days notice (up from the previous 15 days) before credit card companies raise interest rates.  In addition to these rights, consumers can also take advantage of their right to free credit history reports.

With identify theft cases on the rise, it makes good sense to regularly review your credit records to help stay ahead of criminals.  Thanks to a law passed by Congress six years ago, you still don’t have to pay anything to access your credit history from the three major credit bureaus and review your standing with loan providers and credit card companies.

All Americans are entitled to three such reports each year – one from each of the major consumer credit reporting companies.  Before the program began, Americans had to pay the credit bureaus’ yearly fees for a credit report.  Now, anyone can apply for their free yearly credit history report by visiting the website: http://www.annualcreditreport.com.

AnnualCreditReport.com is the only authorized source to get your free annual credit report under federal law.  When you visit the site, you can complete an on-line form to immediately access your credit history report.  You can also download forms to complete the process by mail, if you choose.  Alternatively, you can apply for your free credit report by a toll free number: 1-877-322-8228.  It takes 15 days to process phone and mail requests.

You have the right to request a free credit history report from all three credit agencies, Equifax, Experian, and TransUnion, during a 12-month time period.  Whether you want to request all three credit agency reports at one time, or if you want to space them out to keep track of potential changes, is entirely up to you.  Separately, each of the credit bureaus also offers your “credit score” for a fee.  But there is no charge to access your credit history.

In 2003, Congress passed the Fair and Accurate Credit Transactions Act to allow anyone to apply for the free annual credit file disclosures, also referred to as credit reports. According to the program web site, the credit file disclosure provides all of the information in your credit file maintained by a consumer reporting company that could be provided in a consumer report about you to a lender. 

Regularly checking your credit history report to see what financial activity is being conducted in your name can help to limit identity theft.  Checking for open credit accounts in your name that you did not authorize as well as delinquent accounts (thieves don’t pay bills they run up in your name) is one way to catch such illegal activity.  For more information about your credit rights and the free annual credit report program, you can also visit the Federal Trade Commission’s web site:  http://www.ftc.gov/freereports.