Not sure where to list this, topic wise, but here goes…
My wife was looking over some credit card statements today…Apparently the major card companies are adjusting interest rates…They are giving customers a choice to opt out of the higher rate and not allowing any more credit or take the higher rate and have access to more credit…
My rates were 1.9and 2.9 now, they are going up to 12 and 14 %…For what it’s worth my credit rating is over 800 and I’ve never missed or been late, ever !!
Not sure what is going on , just watch and read your statements carefully…
Yes, I think it is…We the consumer, that has tried to do the right thing, didn’t over extend are going to get caught up in paying the bill for the wreckless irresponsible ones…
SB, Same thing has happened to me as well. If you freeze/close the account it can can trigger a decrease in you your credit score which can in turn cause other creditors to revisit their terms with you and so forth.
I remember back in Feb, that there was some talk of rates going up…I’ve been watching for it and now it’s finally arrived…at least for me…
I had a card that someone tried to use and the credit company suspected fraud…It was blocked and I put a voluntary fraud alert on my accounts as a precaution…maybe this had something to do with it, it shouldn’t have…
I just had the wife transfer everything into a Chase teaser account at 2.9% till July 2011…
I would like to just pay it off and be done with it…But I like the cash in my safe more…
[QUOTE=10talents;14034]SB, Same thing has happened to me as well. If you freeze/close the account it can can trigger a decrease in you your credit score which can in turn cause other creditors to revisit their terms with you and so forth.[/QUOTE]
You can close your newest accounts without it adversely affecting your credit. Keep your oldest accounts open. And feel free to call your bank and ask them to lower the interest rate on your credit card. They might not, but then again, they might, especially if you have had an account with them for a long time.
This advice should not be taken as legally binding, or used for navigation.
Go to www.consumerist.com this is the best website around for all your consuming needs. It also specifically addresses what to do or not to do when the credit card companies start jacking you around.
The sudden changes are the result of new consumer protection laws. The high limits and low interests were bait to get you to run up your debt so they could start charging fees and penalties. Now that the law has changed they can’t do things like lower your limit and demand you pay off the balance or change your interest rates whenever they want they had to stick it to us. in the long run it’s a good thing.
