Consumer Rights: Credit Cards & Debit Cards

BILLING ERRORS: Credit cards are protected under the Fair Credit Billing Act. This law gives the consumer the right to withhold payment on poor-quality or damaged merchandise purchased with a credit card. This law applies to 'open-end' credit accounts such as credit cards and revolving credit charge cards. This does not apply to debit cards and stored value cards. 
Learn more about the Fair Credit Billing Act

YOUR LOAN COSTS: Regulation Z establishes uniform methods of computing the cost of credit, disclosure of credit terms, and procedures for resolving errors on certain credit accounts.
Learn more about truth in lending (Regulation Z)

DENIAL OF CREDIT APPLICATION: The Equal Credit Opportunity Act (ECOA) ensures that individual creditors apply credit standards in a fair manner so that all consumers are given an equal chance to obtain credit. It does not require all creditors to have the same standards, nor does it guarantee approval of loan applications. In reviewing your credit application, lenders cannot discriminate on the basis of sex, marital status, color, race, religion, national origin, age, reliance on income from a public assistance program, or exercise of rights under the Consumer Credit Protection Act. Your ability and intent to repay funds borrowed are the only acceptable criteria.
Learn more about the Equal Credit Opportunity Act

DEBT COLLECTION PRACTICES: This act defines which financial institutions are subject to the act and prohibits abusive debt collection practices. The purpose of this act is to eliminate abusive, deceptive, and unfair debt collection practices. It applies to third-party debt collectors or to those who use a name other than their own in collecting debts. Most financial institutions collect debts in their own name and, therefore, the act applies to only a few of them.
Learn more about the Fair Debt Collection Practices Act

CREDIT REPORTING: Fair Credit Reporting Act defines a credit reporting agency and adopts procedures for meeting the needs of lenders while maintaining fair and equitable use of consumer credit information. The act establishes procedures for correcting mistakes on a consumer's credit report and requires that a consumer's record only be provided for legitimate business purposes. It also requires that the record be kept confidential. A credit record may be retained seven years for judgments, liens, suits, and other adverse information except for bankruptcies, which may be retained for ten years. If a consumer is denied credit, a free credit report may be requested within 30 days of denial.
Learn more about the Fair Credit Reporting Act

ELECTRONIC FUNDS TRANSFERS (ATM/DEBIT CARDS): Regulation E establishes the rights, liabilities, and responsibilities of parties in electronic fund transfers (EFT) and protects consumers using EFT systems, such as ATMs and debit cards. Currently applicability of Regulation E to pre-paid debit cards is not clearly defined.
Learn more about electronic fund transfer regulations (Regulation E)

FINANCIAL PRIVACY: The Right to Financial Privacy Act establishes procedures for the release of financial records of consumers to government authorities. This act provides customers of financial institutions the right to expect that their financial activities will have a reasonable amount of privacy from federal government scrutiny. The act establishes specific procedures and exceptions concerning the release of customer financial records to the federal government.