Seriously…….
1.They penalize you for making late payments.
Fine. For whatever the reason, you did wrong.
They penalize you for making late payments on other credit cards.
Okaaaay…… You’re a potentially bad customer…might do the same to them, so they raise your interest rates. Getting into iffy area here anyways.
You make your payments on time every month and then they raise your APR by 5% for only being able to make the minimum due.
WTF?!?!?!?!?!
I’ve been with this card since ’97. I’ve never made a late payment.
Until about a year and a half ago I was overpaying the minimum every time by at least $20. Now money has gotten tight (my SO has just finished school recently and the VA school money ran out a while back), as I’m the only one supporting us until honey gets a good job. So I start making the minimum payment, while rounding up ($67.23 I pay as $70).
When I called to find out why my interest went from %13.49 to %18.99 I’m told it was because I’ve only been making the minimum payments and they weren’t really designed to pay off the balance.
NO SHIT.
It’s what you’ve got to pay to do your part and keep straight with them when you have to.
So why am I being penalized?
I’m about to flip the page to Chapter 11 so help me Thor!
If they don’t like the amount I CAN pay, then how ‘bout nothing, you money-grubbing bastards?!?!
:mad: :mad: :mad:
That is absurd… you’re paying the minimum balance, according to the terms of your agreement, and they jack up your interest rate because you’re not paying it off fast enough?? WTF??? How is increasing the interest going to help you pay it off faster!!!
Keep paying them until you can find a better card, then transfer your balance.
My guess would be that they hike the interest rate simply because they can.
They figure that because you’re only paying the minimum, you likely can’t afford to pay off the balance, and probably don’t have a lot of other credit options, and so will just suck it up and pay the higher interest charges. More money for them.
I second the transfer your balance idea. Good luck!
My beef with credit card companies is all the pre-approved letters I get. No, I am not pre-approved. My credit stinks and there is no way in hell I will be able to get a credit card anytime soon. Its just a waste of time to send those out to everyone. Please stop wasting the postage, killing trees and breaking the mail person’s back and stop sending me credit card applications!
That is just absurd. You should be a credit card company’s dream - someone who pays on time but only pays the minimum. That’s how they make the most money! If you talk to them again ask them how they are supposed to make any money off you if you pay the balance off?
Credit card companies usually go crazy over people who make ontime payments but don’t pay the balance off. You should be able to find another card who will let you do this at a good rate, easily. Try calling your card and telling them you have a better offer and will transfer unless they lower your rate - it often works.
Apparently I am a credit card company’s dream - or, at least that’s what they told me - and I’m one of those people who pays off the balance every month on time without fail. It doesn’t make any sense since they aren’t making any money off me. Who knows what they are thinking.
I’ve always gotten good service from my credit card providers and never had them jack interest rates on me. I am, however, becoming supremely irritated at the astounding number of “convenience cheques” they send me. I get these things by the carful. Thousands of square miles of forest have been cut down and pulped to send me convenience cheques. I have never used a single one, and yet they continue to ship them to me by the dozen.
The benefit about today’s recession and low interest rates is that credit card companies are clammoring for people like the OP. Like others have said, cc companies make money when you pay less or minimum, they just used that as a red herring excuse when they raised your rates…
There are many cards that will give you crazy-low interest rates to sign up with a balance transfer, my fiance got 6 months at zero interest through Citibank. Don’t put up with high interest, transfer and dump your card. Often times just the threat of doing so to a customer rep will cause your current cc to lower your rates.
Also, those “convenience checks” can be stopped being mailed by a simple phone call to your cc.
Penalties suck, watch out for the fine print, many cards can switch to over 30% for simply missing a payment!!!
Crapital One:
My husband got one under his name. Now he gets a pre-approved notice ONCE A FRIGGIN’ WEEK for another one. Literally.
I called them to get off the mailing lists (we lived in a bad neighborhood and crack-heads were constantly breaking into mailboxes – seriously, the post office finally just ended up removed the outgoing one) and followed their instructions.
8 months later, and seems like their coming even quicker.
Made great kindling during winter.
**Update: **
I talked to my FIL who finally transferred the balance on another of my crappy cards to one of his cards (Bank of America raised my interest to 20.99% from the get-go; claimed I MUST of made a late payment on another card which was a FLAT OUT LIE).
Now I have room to rotate all balances and SCREW THEM BACK!
SCREW THEM ALL; AND NO KY! (yeah I know…I’ll still be paying them money. Just not as much as they’ve been getting)
And, no, I’m not shirking my responsibilities off onto FIL.
That balance is getting transferred back to me ASAP.
Personal note:
Wow.
For my first post ever AND it being in the pit, you guys were great with your responses and advise.
And Abba said I might get called a “fuckhead” in the pit
Thanks!
