I just got a notice from Chase Business. My rate is going from 8.99% to 15.99% The account is two years old have never been late and always pay twice what is due. My credit score is 736. Man this really sucks. The banks are getting free money from the tax payers and now are sticking it to us. Anyone else received these notices?
Yeah, I got a note like that from BofA. I called them up and said "No". They offered 5.99% which I accepted. Problem solved. My experian was 795 last month when I refinanced my home.
Chase is renowned for this kind of crap. I'm not saying the other "too big to fail" institutions such as B of A and Citi are much better, but Chase is as bad as it gets. This is really at the heart of why this economy is doomed. These usurious interest rates are strangling consumers. The notion that some cross-default clause or whatever they want to call it can jack rates up to 32% is truly insane.
This is another little trick they try. I get offers 3.99% promotional APR on qualifying balances for 12 months. Some are 0% for 12 months. They charge a transaction fee of 3% they use to cap it @ $75.00 max⦠but now it just 3%. So I take the offer and then in about two months they send a notice due to market conditions we are raising you APR on all balances to 16.99% So I zero out the balance and they never try that again. They did screw my out of that transaction fee.
My wife handles all this crap (god bless her). Every time they try to levy a fee or raise the rate, she just call 'em up and tells 'em she's canceling. They immediately back off. They've tried the "promotional rate" thing and when the time limit comes up, she just calls them back and does the same thing again. Works every time, but it's a goddamn hassle. This sort of thing may not work any more due to all the market turmoil.
What gets me is there total lack of concern for how this effect the economy. This will drive some to BK, it's like the banks are trying to get you to default.
which credit bureau's score is 736? you should check the other 2 bureaus also as there can be a surprising amount of variance
I agree, I have wondered this myself... They pretty much force people into BK by charging so many fees and high interest rates, etc....but then they act totally bewildered and want bailouts when the people actually do end up filing BK. My beacon score was ~800 as of 4 months ago. I have never, ever, ever been late on anything. Ever. I only have one CC and it carries around a $500 balance. Luckily my rates on any installments loans (mortgage, etc) are fixed and commensurate with my having a good beacon score. Even if they jacked my CC rate to 30% or whatever it would only be on a few hundred bucks, so I'd just pay it off and cancel immediately. It's as if we are held prisoner by our credit scores or something. I often ask myself what's the point of paying back my debt when the banks are getting free money anyway after they fail. Why should I keep paying them when they get to be irresponsible and take my money anyway? I own my vehicles outright, and the only secured loan I have is a mortgage. Everything else is unsecured. Makes me just want to say F it and default on everything that's unsecured. Sure would be nice to have that extra spending money each month. lol