Credit Cards - It all changing again!

There’s a lot afoot in the credit card market at the moment, and after a period of little change, stagnating competition, and more cards leaving the market than joining, but that all seems to be changing now!
Firstly there were changes forced on the card companies by the FSA, which move the onus of proof towards the customers when it comes to disputed payments, and should mean refunds for these happen quicker.
Secondly there was the introduction of Barclaycard's new cashback scheme 'Barclaycard Freedom' which seems to be gaining a good bit of traction with customers. A few of the retailers names are creeping out as well, but it will be interesting to see the full list at launch tomorrow.
Then yesterday there is the credit card industries proposals in response to a series of criticisms its faced over the past few years. Phased out will be the habit of crediting any repayments against the lowest interest earning debts, automatic credit limit increases, and minimum repayments that don't even cover that month’s interest. Also addressed is the issue of interest rate rises, where customers will now be given 60 days notice and reminded twice before any change is made.

Personally I would have preferred the last change to have been more enterprising - allowing cardholders to freeze their interest rate if they agree to freeze their debt and commence regular reductions to it - but maybe that’s the battle for tomorrow!

All in all a number of changes that will make a real difference to a large number of customers. It also means a number of cardholders will be best advised to find a different card to the one they are currently using - we will track the changes and make our recommendations - so watch this space!