text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Consumer Credit Card Protection Act 
  of 2005''.
  
  SEC. 2. PROHIBIT UNIVERSAL DEFAULTS ON CREDIT CARD ACCOUNTS.
  
      Section 127 of the Truth in Lending Act (15 U.S.C. 1637) is amended 
  by adding at the end the following new subsection:
      ``(i) Universal Defaults Prohibited.--
              ``(1) In general.--No creditor may use any adverse 
          information concerning any consumer, including any information 
          in any consumer report (as defined in section 603) or any 
          change in the credit score of the consumer, as the basis for 
          increasing any annual percentage rate of interest applicable to 
          a credit card account of the consumer under an open end 
          consumer credit plan, or to remove or increase any introductory 
          annual percentage rate of interest applicable to such account, 
          for reasons other than actions or omissions of the consumer 
          that are directly related to such account.
              ``(2) Notice to consumer.--The limitation under paragraph 
          (1) on the use of adverse information by a credit card issuer 
          shall be clearly and conspicuously described to the consumer by 
          the credit card issuer in any disclosure or statement required 
          under subsection (a) or (b).''.
  
  SEC. 3. BOX DISCLOSURE OF PAYMENT PERIOD FOR MINIMUM PAYMENTS ON CREDIT 
                CARD BALANCE.
  
      Section 127(b) of the Truth in Lending Act (15 U.S.C. 1637(b)) is 
  amended by adding at the end the following new paragraph:
              ``(12) Minimum payment terms.--
                      ``(A) In general.--In a clear and conspicuous 
                  manner, repayment information applicable with respect 
                  to any outstanding balance on the account, including 
                  the following expressed in a tabular format and in 
                  close proximity:
                              ``(i) The required minimum monthly payment 
                          on that balance, represented as both a dollar 
                          figure and a percentage of the outstanding 
                          balance.
                              ``(ii) The number of months (rounded to the 
                          nearest month) that it would take to pay the 
                          entire amount of the current outstanding 
                          balance if--
                                      ``(I) the consumer pays only the 
                                  required minimum monthly payments (as 
                                  in effect at the time such statement is 
                                  issued); and
                                      ``(II) no further advances or 
                                  extensions of credit are made with 
                                  respect to such account.
                      ``(B) Applicable terms.--
                              ``(i) Applicable apr.--Subject to clause 
                          (ii), in making any determination required for 
                          purposes of the disclosures under subparagraph 
                          (A), the creditor shall apply any applicable 
                          annual percentage rate of interest in effect on 
                          the date on which the disclosure is made, 
                          taking into account the different rates that 
                          may be applicable with respect to different 
                          portions of the outstanding balance, without 
                          regard to whether any such rate is a fixed rate 
                          or a variable rate.
                              ``(ii) Introductory rate.--If the annual 
                          percentage rate of interest in effect on the 
                          date on which the disclosure is made is a 
                          temporary or introductory rate that will change 
                          pursuant to a contractual provision applying an 
                          index or formula for subsequent interest rate 
                          adjustment, the creditor shall apply--
                                      ``(I) the annual percentage rate of 
                                  interest in effect on the date on which 
                                  the disclosure is made, in making a 
                                  determination for the balance of the 
                                  introductory or temporary period, and
                                      ``(II) an annual percentage rate of 
                                  interest, based on an index, formula, 
                                  or contractual provision that is, or 
                                  but for the temporary or introductory 
                                  rate referred to in subclause (I) would 
                                  be, in effect as of the date on which 
                                  the disclosure is made, in making a 
                                  determination for the remainder of the 
                                  amortization period.''.
  
  SEC. 4. ADVANCED NOTICE REQUIRED BEFORE INCREASING RATES OR FEES ON 
                CREDIT CARD ACCOUNTS.
  
      Section 127 of the Truth in Lending Act (15 U.S.C. 1637) is amended 
  by inserting after subsection (i) (as added by section 2 of this Act) 
  the following new subsection:
      ``(j) Advance Notice of Increase in Any Interest Rate and 
  Imposition of Any Fee Required.--
              ``(1) Interest rates.--In the case of any credit card 
          account under an open end consumer credit plan, no increase in 
          any annual percentage rate of interest (other than an increase 
          due to the expiration of any introductory percentage rate of 
          interest) applicable to such account, or any portion of any 
          outstanding balance on such account--
                      ``(A) may take effect before the beginning of the 
                  billing cycle which begins not less than--
                              ``(i) 30 days after the obligor receives a 
                          specific notice of such increase in accordance 
                          with paragraph (3), in the case of any change 
                          in any such annual percentage rate that is due 
                          solely to a change in another rate of interest 
                          to which such rate is indexed; or
                              ``(ii) 60 days after the obligor receives a 
                          specific notice of such increase in accordance 
                          with paragraph (3), in the case of any change 
                          in any such annual percentage rate that is not 
                          described in clause (i); and
                      ``(B) may, in the case of any change in any such 
                  annual percentage rate that is not described in 
                  subparagraph (A)(i), apply to any outstanding balance 
                  of credit under such plan as of the date of the notice 
                  of the increase required under subparagraph (A).
              ``(2) Fees.--In the case of any credit card account under 
          an open end consumer credit plan, no fee, including any annual 
          fee, late payment fee, or over-the-limit fee, may be imposed on 
          such account before the end of the 30-day period beginning on 
          the date the obligor receives a specific notice of the 
          imposition of such fee in accordance with paragraph (3).
              ``(3) Notice requirements.--
                      ``(A) In general.--Any notice required under this 
                  subsection shall be mailed (or e-mailed, if the 
                  consumer has requested to receive such notices 
                  electronically) to the obligor separately from any 
                  statement or other notice and without any advertising 
                  or other disclosures.
                      ``(B) Fee explanation.--In the case of any notice 
                  pursuant to paragraph (2), the notice shall include an 
                  explanation of how, when, and why a fee will be imposed 
                  and what options the obligor may have for addressing 
                  the imposition of the fee or any reason for such 
                  imposition, including the prevention of any future 
                  imposition of such fee.''.
target: Consumer Credit Card Protection Act of 2005 - Amends the Truth in Lending Act to prohibit a creditor from using adverse information concerning a consumer as the basis for increasing any annual percentage rate of interest applicable to a credit card account of the consumer under an open end consumer credit plan, or to remove or increase any introductory annual percentage rate of interest applicable to such account, for reasons other than actions or omissions of the consumer that are directly related to such account (universal default).
  
  Expands mandatory disclosures governing an open end consumer credit plan to include clear and conspicuous minimum payment terms with respect to the outstanding balance on the account, including prescribed details expressed in tabular format and in close proximity.
  
  Requires a creditor to furnish advance notice as a prerequisite to increasing rates or imposing fees on a consumer credit card account.
feat_title: To amend the Truth in Lending Act to protect consumers from unfair practices of credit card issuers, and for other purposes.