Possibly without notice..
You may be aware that many new laws protecting consumers when dealing with credit cards have been passed recently. Credit card companies, for example, are now required to give customers a 45 day notice before making significant changes including changes in interest rates.
However, canceling cards without warning is allowed. Guess they don't consider this a significant change..
In defending themselves, credit card companies say that if they warn consumers their card is going to be canceled, the user could run up the balance and never pay it leaving the issuer on the hook.
It is required that you get notice of the cancellation, eventually, just not necessarily before it happens. What? You must be given notice within 30 days. This could create some very embarrassing moments at the cash register.
None of us should be dependent upon credit cards, certainly not now more than ever. Pay down your balances because, more big news, interest rates are going to continue to go up on credit cards in 2010 and, if you have large balances, you may never get them paid off.
Pay down and pay off your cards. A good 2010 resolution may be to use them less and less.
Tell me what you think at Karen's Perspective.