INTRODUCTION

INTRODUCTION


The Consumer Credit Protection Act of 1968--which launched
Truth in Lending--was a landmark piece of legislation. For the
first time, creditors had to state the cost of borrowing in a
common language so that you--the customer--could figure out
exactly what the charges would be, compare costs, and shop
around for the credit deal best for you.

Since 1968, credit protections have multiplied rapidly.
The concepts of "fair" and "equal" credit have been written
into laws that outlaw unfair discrimination in credit
transactions; require that consumers be told the reason when
credit is denied; let borrowers find out about their credit
records; and set up a way to settle billing disputes.

Each law was meant to reduce the problems and confusion
surrounding consumer credit which, as it became more widely
used in our economy, also grew more complex. Together, these
laws set a standard for how individuals are to be treated in
their financial dealings.

The laws say, for instance:

-- that you cannot be turned down for a credit card just
because you're a single woman;

-- that you can limit your risk if a credit card is lost or
stolen;

-- that you can straighten out errors in your monthly bill
without damage to your credit rating; and

-- that you won't find credit shut off just because you've
reached the age of 65.

But, let the buyer be aware! It is important to know your
fights and how to use them. This handbook explains how the
consumer credit laws can help you shop for credit, apply for
it, keep up your credit standing, and--if need be--complain
about an unfair deal. It explains what you should look for when
using credit and what creditors look for before extending it.
It also points out the laws' solutions to discriminatory
practices that have made it difficult for women and minorities
to get credit in the past.