Bill > H1580

This bill aims to protect consumers from excessive interest rates on credit cards by establishing several key provisions. Firstly, it limits the amount credit card companies can collect in a collection action to the "usury rate," which refers to the maximum legal interest rate allowed by law, and no more. Secondly, any changes to the terms of a credit card contract will only be effective if the consumer countersigns them, ensuring their explicit agreement. Furthermore, any legal action in Massachusetts State Courts that claims a credit card contract has charged an interest rate exceeding the usury rate will be dismissed. The bill also mandates that Massachusetts law will govern any legal actions brought by credit card companies in the state. Finally, if a credit card company has charged a usurious rate, the statute of limitations, which is the time limit for bringing legal action, is reduced to just 30 days.