My credit card interest rate was jacked up to 29.99 percent when I was late paying the bill. What is the maximum allowable APR on credit cards?
It’s a popular misconception that state usury laws protect borrowers from high interest rates on their credit card debt. Credit card issuers scored a sweeping victory in 1978 when the Supreme Court ruled in Marquette vs. First Omaha Services that it was legal for nationally-chartered banks to export the more costly terms of their cards to states where the laws regarding interest rates restricted such practices. The credit card issuer need only follow the law of the state in which its credit card operations are located, not the laws of the cardholder’s state of residency. After this Supreme Court ruling, credit card issuers migrated to states with permissive credit policies like South Dakota and Delaware. That’s why it’s so important to make timely payments, even if it is just the required minimum payment. Besides avoiding late charges, you keep your payment history intact and avoid giving your credit card company an excuse to raise your interest rate. By the way, many credit card agree
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