A new report conducted by CardHub.com shows that major credit card companies hide important information in fine print, making it difficult for consumers to understand all of the stipulations associated with the card.
The study analyzed various cards from the top 10 issuers, based on outstanding consumer balances. They assigned points to the companies based on how visible important information, such as clarity on the balance transfer fees, annual fees, rewards.
Results of the study indicated that all of the analyzed companies are vague when discussing non-cash back rewards.
credit cards and how much the points or miles offered by those cards are worth.
Several of the major issuers did not effectively disclose the balance transfer fees, and used ambiguous language in their application - terms like "up to" and "as low as." Additionally, most of the applications were vague about the annual fees and ways consumers can earn rewards.
Consumers who use credit cards regularly may quickly find themselves struggling to pay off debt. According to The Middletown Press, the first step to overcoming debt is to stop using credit cards when making purchases.