The protections are the third phase of the Credit Card Act of 2009. The law bans card companies from imposing inactivity fees or increasing interest rates without explanation.
It also caps late fees at $25 if payments are not late more than once in a six-month period. And, it bans fees that are larger than the debt held.
Additionally, it allows card issuers to lower rates for consumers who have been in good standing for six months after seeing their rates increase for late payments.