Fairfax, VA - May 18, 2009 — The dramatic rise in consumer credit card debt in America, from $238.6 billion in December 1990 to $977 billion in September 2008, has also seen some questionable changes in the way that credit card issuers have done business. This has prompted lawmakers to consider a "Credit Card Bill of Rights" to protect consumers from certain so-called unfair lending practices.

The Association of Independent Consumer Credit Counseling Agencies (AICCCA) supports this action by lawmakers as many consumers try to cope with the effects of the recession. AICCCA counsels 2.5 million debt-burdened consumers every year.

"My favorite provision is elimination of the Universal Default Penalty, one of the most consumer unfriendly practices ever created," said Dave Jones, president, AICCCA. "Another consumer plus would be required statements on monthly bills listing the expense and time required to pay off the balance if the debtor chooses to make minimum payments."

Other terms of the bill that would be of benefit to consumers who are struggling to pay off their debts include:

• Reinstating grace periods. Bringing back and extending the grace period will give consumers a realistic time frame in which to mail their payments.
• Eliminating teaser rate spikes. Interest rates rising from 0 percent to 22 percent or more after a six month initial period would no longer be allowed.
• Regulations for students. Those under 21 who want a credit card will be required to either prove income or have a co-signer.
• Impose rules for overpayment allocations. Amounts paid above the minimum payment will have to be applied to the portion of the balance that is being charged the highest interest rate.

If you are struggling to pay your bills, a qualified AICCCA member office can help get your financial life back on track. To get help now, call 866-703-8787 or visit www.aiccca.org to find an office that can serve you.