What is a Schumer Box?

A Schumer Box is an easy-to-read table or "box" that discloses the rates, fees, terms and conditions of a credit card agreement as required under the Federal Truth in Lending Act (TILA). It requires that all credit card companies use the same standardized format so that consumers can easily understand and compare rates and fees associated with a credit card. The Schumer Box requires that credit card companies print long-term rate information in 18-point type or greater, and remaining terms in at least 12-point type.

Brief history and how/why it came to be

The Schumer Box is named after Charles Schumer, the New York Congressman responsible for the legislation requiring credit card terms to be presented in a standardized, easy-to-read format for consumers. Although the Schumer Box legislation was enacted in 1988, it did not take effect until 12 years later in 2000. The main reason the Schumer Box was created was to simplify credit card terms and help consumers easily understand and compare rates and fees associated with credit card offers across the board.

Tips on what to look for

Before applying for a credit card, make sure you read the Schumer Box carefully. Pay close attention to promotional and regular APRs, finance charges, minimum payments, annual fees, and how your outstanding balance will be calculated. When shopping for a credit card, it pays to know all of the facts up front — before you apply.

Key information in a Schumer Box

• Annual Percentage Range (APR) for purchases (or interest rate) - may include introductory and long-term rates
• Other APRs - interest rates for balance transfers, cash advances, default, etc.
• Variable rate information (if applicable) - explaining that your interest rate can (and will) change.
• Grace Period - the period of time after your bill when interest charges are not yet applied on your debts.
• Finance calculation method - applies if the credit card balance is not paid in full each month.
• Finance Charges - the minimum amount charged if a balance is carried over month to month.
• Annual Fee (if applicable)
• Other fees - transaction fees, balance transfers, cash advances, late payments, over-limit, etc.

CARD DISCLOSURES
Annual Percentage Rate (APR) for purchases	0.00% for 7 months from date of account opening. After that, 17.24% variable.
Other APRs	Cash advance APR: 25.24% variable. Default APR: 29.99% variable. See explanation below.*
Variable rate information	Your APRs may vary each billing period.**   The purchase APR equals the Prime Rate plus 13.99%. The cash advance APR equals the Prime Rate plus 21.99%. The default APR equals the greater of (1) the U.S. Prime Rate** plus up to 23.99% or (2) up to 29.99%.
Grace period for repayment of the balance for purchases	At least 20 days if you pay the total balance in full by the due date every billing period. If you do not, you will not get a grace period.
Method of computing the balance for purchases	Average daily balance. This includes new purchases.
Minimum finance charge	50 cents.
Annual fees	None.
Fee for foreign purchases	3% of the U.S. dollar amount of each purchase made outside the U.S. whether made in U.S. dollars or in a foreign currency.
Other fees	Balance transfer fee:   3% of each balance transfer; $5 minimum. Cash advance fee:   3% of each cash advance; $5 minimum. Late fee:   • $15 on balances up to $100 • $29 on balances of $100 up to $250 • $39 on balances of $250 and over Over-the-credit-line fee:   $39
* How can your actions trigger the default APR? If you default under any card agreement you have with us because you • do not make the minimum payment when due, • go over the credit line, or • make a payment to us that is not honored, all your APRs may increase to the default APR as permitted by law. We set your default APR by reviewing (1) the seriousness of your default with us and (2) your credit history.   ** How do we calculate variable rates? For each billing period we use the Prime Rate published in The Wall Street Journal two business days before the Statement/Closing Date.     When can we change the rates, fees, and terms of your card agreement? We may change the rates, fees, and terms of your card agreement from time to time as permitted by law. We will give you advance notice of the changes and a right to opt out to the extent required by law.

View the Schumer Box for any of our offers: