Some credit card companies are less considerate to the public. What they care about is to earn more money, thus thousands of credit card users are paying a higher payment for credit card fee than the amount they owed which they are supposed to pay. One of the Obama’s idea would be related to the credit card interest rate, as he want to rebulid and improbve the exisiting regulation of credit card interest rates. However, new credit card proposals aim to crack down on irresponsible lending and offer consumers fairer, more transparent terms.

David Black of Defaqto, the data firm, said: “The new rules will offer a comfort blanket to consumers but if you have already had your rates increased, these measures will offer little protection. The best you can do is to switch to another card with a 0% introductory rate on balance transfers.”

In this proposal, credit card users not only have the right to pay off the most expensive debt first when there has been a balance transfer but also enjoy more time to reject increased rates, and better access to information.Currently, customers often find their payments applied to balances that are not incurring interest (such as 0pc balance transfers) while parts of their balance on which interest is charged are not being reduced. If the credit card issuer applied the payment to the interest-bearing balance first, the customer would pay less interest overall. Although the new rules would not be enshrined in law, the effect would be the same. This could become a binding code of conduct between card companies and the Government.