Lightspeed Research PowerPoint Template

Specific Examples: New Easy-to-Understand Statement Format• Another key provision of the CARD Act is requirements concerning the format of credit card statements,calling for important information to be easier for cardholders to understand.• New elements to be included in new enhanced statements include:1. Use of tables to present information in a clearer way, with important dates prominently displayed2. Minimum Payment Warning and Key Payment Information:- A warning explaining how making only minimum payments will increase the amount of timeneeded to pay down debt in full and the total interest that will be paid as a result.- How long it will take to pay the balances off in full if only minimum monthly payments aremade, and the total amount they will pay – including interest – if making minimum payments.- The number of months and the total cost – including interest and principal payments – to paythe entire balance if only the required minimum monthly payments are made, and how muchwould have to be paid each month if they would like to pay off the balance within 36 months.3. Summary of account information to include grouping of fees and interest charges, with year-to-datetotals of fees and interest charges accrued by cardholder annually.4. Updated changes in terms to be presented in monthly statements such as re-pricing information orupcoming expiration of a promotional period.5. Interest charge calculation: A breakdown and description of APRs that apply to the account,including which balances are subject to what APR.6. Summary of rewards information, if applicable.Several issuers were already rolling out these changes in February.Copyright © 2010 Lightspeed Research. Proprietary and Confidential. All rights reserved. 30