Topic: Credit Card (Read 6406 times)

xpert787 · « **on:** November 10, 2009, 08:33:26 PM »

So pissed at these assholes, I am in Tx right now on internal medicine rotation and my wife told me I got a letter from American Express. Apparently they want to increase the APR to 30% since I was 2 days late on payments twice this year. I have payed the balance in full each month for the last 14 months, I just get so busy sometimes, obviously twice this year that I forget to schedule the online payment. Also I have about 15000 reward points. I'm aware that since I don't carry a balance the APR doesn't matter, but it's the principle to me. My question is will it fuck my credit to just cancel it? I was thinking about using the VA loan to get a house in the next two years and I don't want to jeopardize that.

jagojon3 · « **Reply #1 on:** November 10, 2009, 08:35:21 PM »

It sucks but there is nothing you can do about it. Credit card companies are preparing for the new laws next year (I think) that will prevent them from raising rates among other things, so they want to raise them now while they can.

The same thing happened to my mom, didn't have a late payment for over a decade, and then a couple months ago she was ONE day late. They doubled her rate.

patsmx5 · « **Reply #2 on:** November 10, 2009, 08:37:21 PM »

Try calling them and telling them to put it back or you will close the account. Worst they can do is say no. If they don't want to loose you, they'll work with you.

PhilStubbs · « **Reply #3 on:** November 10, 2009, 08:39:43 PM »

dont cancel yet. i am going through the house buying process right now myself. just dont use it or pay it off every month like you have been. after you close on the house, then cancel the card.

oinesra · « **Reply #4 on:** November 10, 2009, 08:43:32 PM »

Dude, I can help you. My dad works for AmEx, so just pm me you cc number, name, address, ssn, mothers maiden, and any other info you think might help.

t_cel_t · « **Reply #5 on:** November 10, 2009, 08:52:24 PM »

if you pay the balance off why do you care what the interest rate is?

t_cel_t · « **Reply #6 on:** November 10, 2009, 08:54:06 PM »

and setup the automatic minimum balance payment. that way if you forget it will just pay the 10-20 bucks for you and avoid this whole mess.
although once my company fucked up and didnt clear the automatic payment quick enough and wanted to charge me late fees but i called them on their bullshit.

97Econobox · « **Reply #7 on:** November 10, 2009, 09:20:48 PM »

Never close any credit cards. i know somebody at equifax and she says closed accounts show up. opens ones with no balance do not. credit cards never help your credit unless your late or they are massive and your buyin cars on em.

pay it off, cut it up. forget about it. oh and never ever ever ever ever get a CHARGE card. Big difference between CHARGE and CREDIT cards. Amex is a rip, they always get their money.

fork · « **Reply #8 on:** November 10, 2009, 11:45:50 PM »

I have heard its better to not use it and leave a zero balance than to close it but that makes no sense to me.

jagojon3 · « **Reply #9 on:** November 10, 2009, 11:52:03 PM »

There's more to it than that. If it is your oldest account that you've had for the longest time, then keep it open. If it isn't, then just close it if you aren't using it.

Ravage70 · « **Reply #10 on:** November 10, 2009, 11:52:51 PM »

My rate is at 6.25%

Whitey · « **Reply #11 on:** November 10, 2009, 11:54:02 PM »

All credit card's interest are going up. I just got a letter last month saying my rates are going up and I never had a late payment. Its just the companies trying to cover their asses to make as much money as possible becuase the laws are changing next year. Don't take it personally just never leave a balance on your card and you'll be fine. I use credit cards for everything but I always pay them off each month. From the cash back on my Discover and Wawa cards I actually make about $100-300.00 a year from using credit cards.

Just remember, if you can't afford it don't buy it. Then you'll always stay out of trouble

Sinister · « **Reply #12 on:** November 11, 2009, 12:28:49 AM »

Quote from: Whitey on November 10, 2009, 11:54:02 PM

Just remember, if you can't afford it don't buy it. Then you'll always stay out of trouble

Truth.

I've even heard of some credit card companies charging you extra fees if you pay off your monthly balance in full

I just use a discover card for absolutely every purchase I make, and get a decent chunk of change back in cash back bonus that I just use to partly pay off a credit card bill every now and again, works for me. My APR is something ridiculous like 18.99% but I don't have to worry about that.

Eggylshatch · « **Reply #13 on:** November 11, 2009, 01:01:13 AM »

I just closed a credit card account the other day... hope it doesn't hurt my credit-- its probably bad enough. The way they jack up interest rates is a fucking evil scam and should be illegal. I have one more credit card thats working its way into termination because I never renewed it with all the company scrambling bullshit, just need to pay it off. Once thats done I'll get a new one with a decent interest rate and if I use it at all the entire balance will be paid off each month. The fuckers.

klyph · « **Reply #14 on:** November 11, 2009, 01:18:02 AM »

I've never had a credit card.
I've never been denied a loan.
The interest on my debit card never changes

Screw credit cards, they are the devil.

Doug · « **Reply #15 on:** November 11, 2009, 01:29:35 AM »

Keep the card never close it and don't go over either 1/2 or 1/3 of the allowed balance (can't remember). I'm looking at picking one up to just buy gas with and pay off every month to build some credit.

Teg2boo · « **Reply #16 on:** November 11, 2009, 08:33:37 AM »

I paid late a lot of time (3-4 times) and they increase my limit to 20k$ (was 10k$)

It is Visa tho....

97Econobox · « **Reply #17 on:** November 11, 2009, 09:36:47 AM »

Quote from: danwjmu on November 11, 2009, 08:26:37 AM

Quote from: Doug on November 11, 2009, 01:29:35 AM
I'm looking at picking one up to just buy gas with and pay off every month to build some credit.
That's what I do

It wont build real credit that will show up on a credit check unless you have 1/3 the balance of the card used and have kept it around that but making payments for like 3-4 months. So like i said you sorta need like a 10K card and paying like 3700 down to like 2500 over 4 months. then you may see some credit.

Go get a personal loan from the bank and rock it for like 6 months and pay it back. that will build credit faster than a credit card will.

hatrack48 · « **Reply #18 on:** November 11, 2009, 12:40:41 PM »

Citi Bank tried to raise my interest rate, but I call'd them on it, Told them I have a fixed rate @8% locked in when account was open, and that a higher rate could only apply to a new card. Citi tried to raise it to 13.99% but took it back to 8% after the call

Joseph Davis · « **Reply #19 on:** November 11, 2009, 12:50:40 PM »

Quote from: 97Econobox on November 11, 2009, 09:36:47 AM

Quote from: danwjmu on November 11, 2009, 08:26:37 AM
Quote from: Doug on November 11, 2009, 01:29:35 AM
I'm looking at picking one up to just buy gas with and pay off every month to build some credit.
That's what I do

It wont build real credit that will show up on a credit check unless you have 1/3 the balance of the card used and have kept it around that but making payments for like 3-4 months. So like i said you sorta need like a 10K card and paying like 3700 down to like 2500 over 4 months. then you may see some credit.

Go get a personal loan from the bank and rock it for like 6 months and pay it back. that will build credit faster than a credit card will.

This is how Henry Henries credit.

Cray91 · « **Reply #20 on:** November 11, 2009, 03:20:09 PM »

Quote from: jagojon3 on November 10, 2009, 08:35:21 PM

It sucks but there is nothing you can do about it. Credit card companies are preparing for the new laws next year (I think) that will prevent them from raising rates among other things, so they want to raise them now while they can.

The same thing happened to my mom, didn't have a late payment for over a decade, and then a couple months ago she was ONE day late. They doubled her rate.

I work for a credit card company. Some of the laws have already gone into effect, most of the remainder come in February.

The one that everyone is noticing is the new "opt out" option. The credit card company must advise you in writing of any pending interest rate changes, and you have the option to close the card and keep the same interest rate. You still have your balance and APR, but you lose the ability to charge.

The original poster is referring to the "Penalty APR" issue. Two late pays in 12mo rolling period = massive APR. If you are always paying balance in full, then set it up on Auto-pay or something.

Closing the card by the user is not really a big hit on the credit. The only things to worry about are that closing this card will not raise your limit/balance ratio, lower average age of accounts, and reduce diversity of credit line types.

Cray91 · « **Reply #21 on:** November 11, 2009, 03:21:38 PM »

Quote from: n/a michael on November 11, 2009, 03:05:12 PM

since you didn't spend any of the money it's free. the only out of pocket money you spend is on interest.

Did you really think about that sentence?

xpert787 · « **Reply #22 on:** November 11, 2009, 04:26:26 PM »

I think I'm going to set up the auto pay and not use the card any more. I was reading online about the FICO crap, and I think the best way to preserve my score is just to keep it. I blew all the points last night and got like 300$ worth of gift cards to give out as Christmas presents just in case.

Doug · « **Reply #23 on:** November 11, 2009, 06:58:04 PM »

Quote from: 97Econobox on November 11, 2009, 09:36:47 AM

Quote from: danwjmu on November 11, 2009, 08:26:37 AM
Quote from: Doug on November 11, 2009, 01:29:35 AM
I'm looking at picking one up to just buy gas with and pay off every month to build some credit.
That's what I do

It wont build real credit that will show up on a credit check unless you have 1/3 the balance of the card used and have kept it around that but making payments for like 3-4 months. So like i said you sorta need like a 10K card and paying like 3700 down to like 2500 over 4 months. then you may see some credit.

Go get a personal loan from the bank and rock it for like 6 months and pay it back. that will build credit faster than a credit card will.

What do you mean? I had a card I used 1/4 the balance and paid it off over six months and it showed every month I had a balance on the credit report. Why wouldn't that build credit? Also I know at work we can see how many times you have been over 10, 15, 30, 60, 90 days to establish your payment history. So if anything it will show a balance that is being reported as paid on time.

random-strike · « **Reply #24 on:** November 11, 2009, 07:10:53 PM »

encase you guys don't get it yet

credit score = scam

Doug · « **Reply #25 on:** November 11, 2009, 07:22:30 PM »

Quote from: random-strike on November 11, 2009, 07:10:53 PM

encase you guys don't get it yet

credit score = scam that you have to go by to seem to get anything worth a shit now days including a lot of jobs

Fixed

98redcavz24 · « **Reply #26 on:** November 12, 2009, 01:36:32 AM »

what the fuck is encase?

its IN CASE smart one

98redcavz24 · « **Reply #27 on:** November 12, 2009, 01:37:21 AM »

Quote from: random-strike on November 11, 2009, 07:10:53 PM

encase you guys don't get it yet

what the fuck is encase? its IN CASE smart one

klyph · « **Reply #28 on:** November 12, 2009, 01:52:03 AM »

Quote from: random-strike on November 11, 2009, 07:10:53 PM

encase you guys don't get it yet

credit score = scam

This.

I almost find it hard to believe that someone suggested getting a loan just for the opportunity of paying the interest on it. All with the hopes of raising your pinball score with the banking overlords. Then I realize it was from an unemployed welfare bum who uses productive Americans tax dollars to go surfing.

Get a fucking clue. A credit "score" is the bankers way of ranking the suckers. The more money you blow on interest, the higher your score. Then they convince you that you need this score. Go ahead, buy into it, spend your welfare checks on interest to sink yourself further into financial ruin. Great plan.

crttaz · « **Reply #29 on:** November 12, 2009, 04:29:24 AM »

Quote from: Cray91 on November 11, 2009, 03:20:09 PM

Quote from: jagojon3 on November 10, 2009, 08:35:21 PM
It sucks but there is nothing you can do about it. Credit card companies are preparing for the new laws next year (I think) that will prevent them from raising rates among other things, so they want to raise them now while they can.

The same thing happened to my mom, didn't have a late payment for over a decade, and then a couple months ago she was ONE day late. They doubled her rate.

I work for a credit card company. Some of the laws have already gone into effect, most of the remainder come in February.

The one that everyone is noticing is the new "opt out" option. The credit card company must advise you in writing of any pending interest rate changes, and you have the option to close the card and keep the same interest rate. You still have your balance and APR, but you lose the ability to charge.

The original poster is referring to the "Penalty APR" issue. Two late pays in 12mo rolling period = massive APR. If you are always paying balance in full, then set it up on Auto-pay or something.

Closing the card by the user is not really a big hit on the credit. The only things to worry about are that closing this card will not raise your limit/balance ratio, lower average age of accounts, and reduce diversity of credit line types.

How about when they jack the interest rates for no reason?

?

Reason I never the bastards back!

9.9% went to 27.9%
14.9% went to 29.9%

Default! Back then you weren't given an option to opt out.

News:

Author Topic: Credit Card (Read 6406 times)

oinesra