Beware new Credit Card interest rates (30%)

[Mr Bogus]

I keep a few cards in my wallet just because.. However my CC debt is like $200.... and now I am really glad...

In the mail today "Chase" sent me an update to their credit card accounts..

They apparently have upped the rate at which credit card companies can charge ...

My rate is going from 17% to the new rate of 29% annually.. holy cow.... glad I never used them...

If you get new terms on your credit cards from the bank, better look close at what they are going to screw you for... at 30% interest, most will be lucky to get by on interest payments..

[ks-waterbug]

Wow... Feel sorry for the folks who get caught up in that mess

[twotonevert]

Well, I am one of them. We had some tough times earlier this year and have been paying ours off. We are getting there, but we have one more to go!

[Projekt]

Damn! That is out of control. Glad that I don't have any CC Debt, bastids!

[Schism]

i'm another! just when i'm tryin' to dig myself out of my card they raise the rates.???

[GSXcite]

In most states, if you get a notice that your rate is going up, you can elect to opt out by closing your account,and keeping the same rate your card is at the time of increase untill paid, provided you make the payments on time. I opted out of two cards with small balances this year when I looked at the statemant and they had in small print, beginning next month your rate is going up for no good reason other than we can do it. It is my intent to pay off any credit cards I have, keep one for emergencies, and NEVER use one again!

[Wag]

Pay your cards off every month if you can.

Don't close accounts you're not using 'cause that messes up your credit score.

If you have a good payment history, call 'em up and ask them to reduce your rate. Did that a couple months ago and got a rate reduction AND a limit increase. Not that I needed it.

It ain't the end of the world. But we can see it from here!

--Wag--

[Mr Bogus]

Pay your cards off every month if you can.

Don't close accounts you're not using 'cause that messes up your credit score.

If you have a good payment history, call 'em up and ask them to reduce your rate. Did that a couple months ago and got a rate reduction AND a limit increase. Not that I needed it.

It ain't the end of the world. But we can see it from here!

--Wag--

so what you are saying to people in CC debt is to accept the new 10% increase? seems to be a vicious cycle... I am rather torn here.. I do keep a couple cards but would never consider 30% as a rate I could live with.. closing 0 balance cards hurts my credit?

[GSXcite]

so what you are saying to people in CC debt is to accept the new 10% increase? seems to be a vicious cycle... I am rather torn here.. I do keep a couple cards but would never consider 30% as a rate I could live with.. closing 0 balance cards hurts my credit?

Yes, closing 0 balance cards will hurt your score. Keep the account active if it is a no fee card, just do not charge anything on it. part of your score will be a percentage of credit used as compared to the amount of credit (your credit limits) on all accounts. When you close an account, the limit you had on that card is no longer counted toward your high credit limits. Also, other factors such as how long you have had a line of credit with a company helps to make up your score. Closing an account you have had for a long time will lower your score too.

[CTA_Busa_LE]

That is just wrong. With the federal interest rate as low as it is this is nothing more than the banks and CC companies taking advantage of those that need help the most and will most likely cause even more defaults which will in turn cause EVERYONES rates to increase.

Corporate greed and corrupt politics is killing this country from the inside out!

[CBXRider]

I keep a few cards in my wallet just because.. However my CC debt is like $200.... and now I am really glad...

In the mail today "Chase" sent me an update to their credit card accounts..

They apparently have upped the rate at which credit card companies can charge ...

My rate is going from 17% to the new rate of 29% annually.. holy cow.... glad I never used them...

If you get new terms on your credit cards from the bank, better look close at what they are going to screw you for... at 30% interest, most will be lucky to get by on interest payments..

Maybe it has something to do with their perceived opinion of your credit worthiness. I have accounts with Chase and I'd never accept a card with double digit interest rates. Mine are 6.99 and 7.99 and the limits are high enough to buy a Hayabusa if I wanted to!