It is the high time for credit card users to make a mental note of a case that has come up before the Supreme Court. The verdict the apex court gives will decide the payable interest on card outstanding. Citibank NA has appealed in the Supreme Court, challenging an order of the National Consumer Disputes redressals Commission, which restrained the bank from charging an interest rate of over 30 per cent a year to plastic money users who fail to make full payment on the due date or within the grace period. The matter, which relates to a balancing of consumer protection and regulatory powers, assumes importance given the fierce growth of credit card use in India. It has also caused overspending and delinquency in recent years. Notably, similar issues had resulted in new legislations in advanced credit card markets. The Citibank on its appeal said that such capping of rates of interest on credit card payment was contrary to RBI policy. The bank has also pointed out that the central bank in its circular of July 23, 2008 had said that banks prescribe their respective ceiling rate of interest in respect of small ticket personal loans and this would apply to all credit card dues as well. RBI had clearly stated that banks were free to determine rates of interest on non-priority sector personal loans without reference to the Benchmark Prime Lending Rate (BPLR) and regardless of the amount offered by the loan. The imposition of an upper limit of interest to a degree turned non-priority sector lending to priority sector lending. The commission failed to appreciate that the credit card market in India is still at a developing stage and the risk of default is relatively higher, and legal remedy has its own costs. An emerging market like India also has a high cost of acquisition and a high cost of servicing an account as compared to other mature markets of European countries. In the US, there are legislations like the Truth in Lending Act, that requires banks to state upfront all charges on the product. This act primarily to enable the consumer to shop around for the best deal. In the UK, there is Fair Trade Commission, to ensure that there is a fair deal between the consumer and the bank.