Cheaper Credit Freezes for California, Credit Card Fee Bill Advances

California Governor Arnold Schwarzenegger recently signed legislation limiting the amount credit bureaus can charge California residents for credit freezes. Starting January 1, 2009, the maximum fee for a freeze is $10 for non-identity theft victims under 65 and $5 for seniors 65 and over. Victims of identity theft in any state can freeze their credit reports for free.

Credit report freezes help prevent identity theft by requiring your a password for businesses to check your credit report. Most states fees range from $10 to $20.

The Credit Card Fair Fee Act passed in the House. It now has to be passed by the Senate, then signed by the President to be put into place. The Act will allow merchants to negotiate the fees they pay credit card companies, allowing more businesses to accept credit cards as a form of payment. (See U.S. Legislative Process for an explanation of how bills are passed).

Gas Stations May Stop Taking Credit Cards) discusses how some gas stations may stop accepting credit cards because the fees charged by credit card companies are too high.