The Credit Card Accountability Responsibility and Disclosure Act of 2009, usually called the Credit CARD Act, was approved on May 22, 2009 as Public Law 111-24. It amended the Truth in Lending Act, which the CFPB's Regulation Z (12 CFR part 1026) implements; the card rules summarized here are from Regulation Z. This guide is a checklist of the protections you are most likely to use on a consumer credit card account, summarized from Regulation Z and CFPB guidance as of September 25, 2026.
Opening an account
Ability to pay. An issuer must consider your ability to make the required minimum payments, based on your income or assets and your current obligations, before opening an account or increasing your credit limit.
Under 21. An issuer can't open an account for a consumer under 21 without financial information showing an independent ability to make the minimum payments, or the signed agreement of a cosigner, guarantor or joint applicant who is at least 21 and able to pay.
Rates
First year. A card company is generally not permitted to increase your interest rate on new transactions during the first year of the account.
Notice. Issuers must generally give written notice at least 45 days before a significant change to your account terms. The CFPB says significant changes generally include increases in certain interest rates and fees, increases to the minimum amount due, and changes to the grace period or the way interest is calculated.
Existing balances. The rate on what you already owe can generally rise only when a temporary rate of at least six months expires, when a variable rate's index increases, when your minimum payment hasn't been received within 60 days after the due date, when you complete or fail to comply with an arrangement to lower your rate, or when Servicemembers Civil Relief Act protections end.
Promotional rates. An introductory rate has to stay in effect for at least six months unless you are more than 60 days late.
Getting a penalty rate back down. If your rate rose because you were more than 60 days late, the issuer must restore the earlier rate after six consecutive on-time minimum payments. After a rate increase that required 45 days' notice, it generally must re-evaluate the rate at least once every six months.
Your right to say no
For many changes, the CFPB says, you have the right to opt out of the new terms. The issuer might then close your account, but the CFPB says you don't have to pay the balance immediately, and the new required payment can't be more than the amount needed to pay the balance off in five years or double your prior minimum payment, whichever is higher. The CFPB also notes that closing an account may lower your credit score, because it reduces the credit available to you.
Fees
First-year cap. Fees you are required to pay in the first year can't exceed 25 percent of the credit limit when the account is opened; late, over-the-limit and returned-payment fees don't count toward the cap.
Penalty fees. A late fee or other penalty fee must either reflect a reasonable proportion of the issuer's costs or stay within safe harbor amounts in the regulation, which are adjusted annually for inflation. It can't exceed the dollar amount associated with the violation; for a late payment, that is the minimum payment that was due. Only one penalty fee is allowed per event.
Banned fees. No penalty fees for account inactivity, for transactions the issuer declines, or for closing or terminating the account.
Over-the-limit. No over-the-limit fees unless you opt in, and then no more than one per billing cycle.
Statements and payments
Timing. Issuers must have reasonable procedures designed to ensure statements are mailed or delivered at least 21 days before the due date, and the due date must be the same day of the month for each billing cycle.
Cut-off. The payment cut-off can't be earlier than 5 p.m. on the due date, and if the issuer doesn't accept payments by mail on the due date, a payment received the next business day generally can't be treated as late.
Payment order. Amounts above the minimum must go to the highest-rate balance first. During the two billing cycles before a deferred-interest promotion expires, they must go to the deferred-interest balance first.
Losing a grace period. If you lose a grace period, the issuer can't charge interest on balances from earlier billing cycles or on amounts you repaid within the grace period.
Minimum payment warning. Statements must warn that paying only the minimum costs more in interest and takes longer.
Transparency
Card issuers are generally required to post their card agreements on their websites, and agreements submitted under Section 204 of the CARD Act are published in the CFPB's Credit Card Agreement Database; the CFPB says an issuer with fewer than 10,000 accounts doesn't have to submit its agreements.
What isn't in force
A 2024 CFPB rule that set an $8 late fee safe harbor for issuers with one million or more open card accounts (with affiliates) was vacated by court order on April 15, 2025, according to the CFPB.
Servicemembers
Separately from the CARD Act, the Military Lending Act applies to active-duty servicemembers and covered dependents, who can't be charged more than a 36% Military Annual Percentage Rate. The CFPB says credit card companies didn't have to comply with the Act until October 3, 2017.
If you think an issuer isn't following these rules, you can submit a complaint to the CFPB online or by calling (855) 411-CFPB (2372).