New rules on credit limit increases? When do they come into effect?

The_Pedant

Back in 2009 + 2010, there were changes announced by the governement that would require credit card companies to notify the consumer of any unsolicited increase in their credit limit and to give the consumer 30 days to opt out of the increase.

I did see an article (http://news.bbc.co.uk/1/hi/8567677.stm) that states the changes would come into force 'by the end of January 2011 at the latest'.

Does anyone know :-
1. Are these changes in force yet?
2. Where one might fight a copy of the changes (or if it's simply an industry best practice, where the document can be found)

Cheers.

[Deleted User]

Already in effect in all cases, I believe. Can't post you the link, but you can opt out of the increases and any increases thereafter. You can also request a decrease at any time that companies need to take notice off (but not if it would be below your balance).

You've always been able to opt of out increases in practice, so it's just the separate advance notification that is new.

doelani

My husband got letter last week saying about a credit limit increase and saying he could opt out and if not it would be applied in 30 days so I guess some companies have started to do it

cse

The compliance date was January 1st I believe. You've always been able to opt out of credit limit increases, it's just the 30 days notice that is new - previously your card provider could change credit limits at any point and notify you on the same day, and you'd have to request the limit to be decreased back to it's original level

The_Pedant

Thanks folks.
I had noticed many card issuers updating their T&Cs but wasn't sure when the compliance date.
I was also curious to read up on any other new rules imposed ... well, I like to keep up with these things ;-)

Grimster

If a bank now allows a transaction (3500 euros) to push you over your agreed credit limit(£3000)without your prior knowledge (contested car hire charges due to an accident abroad), does that make it responsible for the charges?

Thanks

chexum

Grimster wrote: »

If a bank now allows a transaction (3500 euros) to push you over your agreed credit limit(£3000)without your prior knowledge (contested car hire charges due to an accident abroad), does that make it responsible for the charges?

What purpose the over-limit fee would have, if they stopped all transactions that would make you exceed it? I'm afraid the card owner is always responsible to stay below the limit.

It's an exception, if the transaction is not authorised by you, but you'll find you grant many many things to the company renting you a car...