(Reuters) - President Barack Obama was expected to sign into law on Friday a package of sweeping new limits on credit card interest rates and fees that won final approval from the U.S. Congress on Wednesday .
In a major victory for the president and congressional Democrats, the House of Representatives voted 361-64 to approve the so-called "credit cardholder bill of rights".
Taking full effect in February 2010, the bill would sharply restrict credit card issuers' ability to raise interest rates on cardholders' existing balances; to charge certain fees; and to slap cardholders with unreasonable penalties.
The bill will hurt the profits of major card issuers such as Citigroup, Bank of America, JPMorgan Chase and Capital One, analysts said.
It represents the first of several reforms on banking and market rules expected from the administration as it tightens regulatory oversight in hopes of preventing another financial crisis like the one now pounding economies worldwide.
A White House official said Obama will sign the bill at a ceremony scheduled for 1500 EDT on Friday.
The bill could hit home with more consumers than any other economic initiative the Obama administration has launched so far, with some experts predicting a broad restructuring of how credit cards are priced, managed and marketed.
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