9. Increased minimum credit card payment
As of August 1, 2019, the minimum payment stipulated in all new credit card contracts must be at least 5% and increase progressively from 2% to 5% for existing contracts.
According to the Office de la protection du consommateur, consumers who only make 2% minimum credit card payments will require 80 years to pay off a $10,000 ($7,690 USD) balance at an interest rate of 19.8%. What’s more, credit fees in this case would total $45,350 ($34,874.15 USD).
Also, credit card companies must provide better information regarding the estimated time required to pay off a balance when only making minimum payments.
