• 
• 
  • Cover Stories »
    • Third Edition / Jackson
    • Second Edition / Johnson
    • January 2005 / Steele
• 
  • Green Space
  • Health & Wellness
  • Recipes »
    • Hispanic Heritage
    • Holiday Recipes
    • Native American
  • Our Town Campaign
  • Soul & Inspiration
• 
  • Art & Culture
  • Calendars »
    • Business Calendar
    • Leisure Calendar
  • Events
  • Public Announcements
• 
  • Advertising Suite
  • Contact Us
  • Media Services
  • Publisher's Page
  • Suite Archives
  • Suite Awards
  • Suite Opportunities
  • Who We Are
• 
• 
• 
• 
• 
• 

President Obama on May 22 signed into law legislation that will put limits on credit card rates and fees. But don’t celebrate the prospect of lower credit card bills just yet.

Some financial institutions are rushing to put new fees in place before the Credit Card Accountability Responsibility and Disclosure Act of 2009 goes into effect about eight months from now.

Paying credit cards on time and paying off as much of the balance as you can may be used as leverage to request lower credit card rates, according to Johanna Newmann.

“We have definitely heard some reports about banks trying to raise rates before the deadline,” said Johanna Neumann, state director of the Maryland Public Interest Research or PIRG (www.marylandpirg.org), a Baltimore-based organization that advocates for consumers in Prince George’s County and the rest of the state.

“I feel like a credit card is one of the few things you can sign a contract and they can change the terms of that contract at any time,” she said.

But there are other steps you can take to slash your credit card bills in these tough economic times, Neumann said:

o Pay credit card bills on time and pay off as much of the balance as you can. This gives you more leverage when asking credit card companies to give you a break on your bill, she said. Then call your credit card company and ask to have the interest rate reduced. Some credit card companies will give customers in good standing a break on fees or rates. o Pay your credit card bill as soon as you get it in the mail or online. This is because some companies charge interest on the balance until you pay the bill. o Shop around online for better credit card deals. You may be surprised that there are banks that not only charge lower interest rates but let you transfer balances for no fee. And your bank may offer you a better deal if you say you will take business to a competitor. o Apply for credit cards through credit unions or smaller, local banks. These institutions often offer lower rates, fewer fees and better service.