At least one credit card company is not providing many of the benefits that consumers get under the Credit CARD Act of 2009 to small business owners. That company, Bank of America, will not give small business credit card customers protections that include the agreement not to raise interest rates on existing card balances.

The company announced these changes on April 1^st. The company has some two million small business customers that have existing credit lines. These businesses will now get relief from the fees of going over their credit limit or those that apply to payments made to a portion of their balance with the highest interest rate.

These are just some of the required changes mandated for consumers by the Credit Card Accountability Responsibility and Disclosure Act that was passed in 2009 but went into effect on Feb 22, 2010. However, this law does not apply directly to small business credit cards.

Bank of America will be the first major lender that will make the change, specifically not retroactively raising interest rates on old, existing balances of their customers.

The law does not clearly state that small businesses are included in these new regulations and there has been much confusion over this in the last few weeks. Although consumers may see new restrictions and improvement on fees, this is not automatic for the business district.

One of the reasons why these businesses were not specifically targeted to be included in the new regulations is because it is believed that doing so would limit access to credit. However, some believe that this exclusion from the law will lead to less credit available and higher interest rates across the board.

In today’s difficult economic times, limiting businesses from the much-needed credit could force many to close their doors.

Bank of America said it will also provide these small business credit card customers with at least 45 days worth of notice if it will change the interest rate. It will also give at least 25 days grace period to consumers, which is the end of a billing cycle until when the payment for that cycle is due to be paid.

All customers will receive a full page summary of the interest rates and payment information, including any information on fees. This makes the account’s actual costs and details transparent.

What This Means To You

If you are currently looking for a credit card for your business, it may be beneficial to consider those lines offered by Bank of America. Although no information is available as of yet about other lenders who may extend these types of offers in the future, it is expected that lenders who do not will continue to use the same practices they have in the past.

For those who are unsure of what their current obligations are, requesting a free copy of the terms of service is the first step. Finding new lines of credits for small business owners is another option all consumers have in solving this type of concern.