The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Information on this website may not be current. This website may contain links to other third-party websites. Such links are only for the convenience of the reader, user or browser; we do not recommend or endorse the contents of any third-party sites. Readers of this website should contact their attorney, accountant or credit counselor to obtain advice with respect to their particular situation. No reader, user, or browser of this site should act or not act on the basis of information on this site. Always seek personal legal, financial or credit advice for your relevant jurisdiction. Only your individual attorney or advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, contributors, contributing firms, or their respective employers.
Credit.com receives compensation for the financial products and services advertised on this site if our users apply for and sign up for any of them. Compensation is not a factor in the substantive evaluation of any product.
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 to disclose certain aspects of a credit card agreement so consumers can easily understand and compare rates and fees associated with a credit card. The Schumer Box requires credit card companies to print long-term rate information in 18-point type or greater and remaining terms in at least 12-point type.
The Schumer Box is named after Charles Schumer, the New York congressman (now senator) 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 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.
Before applying for a credit card, make sure you read the Schumer Box carefully — as well as what’s outside the box, in the fine print. 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. It’s also a good idea to check your credit before comparing credit cards, so you know what cards you’re most likely to qualify for and if there are any errors on your credit report you want to fix before applying for new credit. You can see a free snapshot of your credit report and two credit scores on Credit.com.
[Advertisement: If you need help fixing your credit, Lexington Law may be able help. Visit their website or call (800) 594-7441 for a free consultation.]
This article has been updated. It was originally published August 1, 2012.
April 9, 2024
Credit Cards
October 21, 2020
Credit Cards
August 3, 2020
Credit Cards