Democratic U.S. Sen. Evan Bayh on Wednesday touted a bill signed by President Barack Obama last week that enacts sweeping consumer protections for credit card holders, including an end to surprise rate increases that have left some card holders gasping.

"The bottom line is, too many Hoosier families are being ripped off by unscrupulous credit card companies," Bayh told a small gathering at Gary/Chicago International Airport.

Bayh stood at the podium at the airport administration building backed by charts outlining the bill's protections. A poster behind him quoted a Granger, Ind., woman who had seen her interest rate go from 0 percent to 29 percent simply because she was one day late with her payment.

"These companies have the right to make a profit," Bayh said. "But they don't have the right to abuse people."

Darrolyn Sharp, executive director of Consumer Credit Counseling Service of Northwest Indiana, said the bill was one of the most important consumer protection bills she had seen passed in her lifetime.

"It keeps consumers and credit card companies honest," Sharp said. "This has been a long time in the making."

Sharp introduced Bayh at the podium, and the senator's comments were also seconded by Mayor Rudy Clay, who said the bill will help protect and maintain the credit of citizens in Gary.

The bill, which passed both the U.S. House and Senate by overwhelming margins, was quickly signed into law by President Obama.

Last year, the Nilson Report estimated that more than 700 million credit cards were in circulation in the United States. That's more than two cards for every man, woman and child. And some of those cards carry hefty balances. According to the Federal Reserve, the nation's citizens are some $2.5 trillion in debt, excluding home mortgage debt.

Bayh said one of the most important protections in the bill is a requirement that anyone younger than 21 must get a parent or guardian to cosign for the card or show proof they have an independent means of paying off any balance.

Under the bill, any customer would have to be more than 60 days behind on a payment before seeing a rate increase on an existing balance. Even then, the lender would be required to restore the previous, lower rate if a cardholder pays the minimum balance on time for six months.

Bayh brushed off questions about whether credit card companies might implement higher fees or interest rates across the board for new customers to make up for any income they lose because of the bill's provisions.

"We have to make sure new abuses don't spring up to replace the old ones," Bayh said.

The Associated Press contributed to this story.