This provision, generally buried in the fine print of your credit card agreement, basically says that if you are more than 30 days late on any payment to anyone, the interest rate on your credit card could shoot up and your credit score may be damaged. This will create problems and will reach an all-time high among consumer.
Update: Universal default clauses were banned under the CARD Act – credit card issuers are no longer allowed to use this practice to increase cardholder interest rates.