Credit Card Companies

[Frankie]

Some of the largest credit card issuers are saying they'll stop charging some of their outrageous fees, increasing interest rates, etc. We have only two credit cards and pay them off every month, but some of these fees are nothing but gouging, IMO. I'm glad to see them taking another look.

http://www.usatoday.com/news/washington ... ring_N.htm

 

[MikeC]

This is the biggest thing that bugs me about Credit Card Companies:

"Citigroup, the nation's largest financial institution, announced last week that it was eliminating the practice of so-called universal default — raising interest rates for card customers because of their failure to pay other creditors on time. In addition, Citigroup said it would eliminate some types of interest rate increases that have been criticized."

One company pulled this on my parents once. They were 10 days late on a payment to another company by mistake and the CC jacked their interest rates from 6.5% to almost 30%.

Wasn't a lot of money involved but was more than underhanded to me.

 

[VanC]

You've got to watch them closely. We have two credit cards and always pay them off each month, unless we have to charge something big and then it might take 2 or 3 to pay it off. Had one awhile back that was a so-called "fixed" rate. Sat down to pay it and noticed the rate had almost tripled overnight. When I called them they couldn't give a good reason and offered to lower it back down to the original rate. I cancelled it anyway and got another. I think they count on people not paying attention to the rates they're paying. Fortunately, there is more competition now and that helps keep things somewhat in check, but you've still got to keep an eye on them.