Credit Card Funnies

[DWalt]

Today, I received a letter from Barclays Bank, concerning one of our credit cards (a Mastercard). Are they ever mad at us. They claim we are not paying them enough interest, and have no installment loans on our record, so they are raising our card APR rate from 18.9% to 20.9%. However, we have always paid our credit cards in full every month via a direct draft from our checking account from another bank. Therefore we have never, ever, paid a penny of APR on any of our several credit cards. Insofar as I care, they can raise my APR to 1000% as I won't be paying it either. This is the first time I have ever heard of a card servicer attempt penalizing a long time card customer because of the customer having no debt. Anyone else here ever had this happen?

 

[tops]

We have had a credit card for 50 yrs. and always pay it off every month and never paid a penny interest. I don't ever remember getting a letter that they were going to raise the rate. Larry

 

[Onomea]

Seems kinda strange. As you say, if you pay off on time, monthly, doesn't matter what their usurious rates are. Not much of a threat.

Credit card companies make their money off spendthrifts at all income levels and poor folks who get behind.

I occasionally get emails telling me to apply for something or another so that I can get a reduced APR. I just ignore 'em. I don't care what the rate is.

 

[Bekeart]

Some will rob you with a six-gun.

And some with a fountain pen.

 

[Alk8944]

Sounds like a checking account issue I had years ago. I moved everything to my Dept.'s credit union and closed my account at a commercial bank. Sat with one of their people for nearly an hour to be sure my account after outstanding checks was balanced to the penny! Once accounting got to it they determined I had a minus one cent balance and billed me for it, I ignored the bill! They billed me for the one cent for several months, I expected they would send it to collections but apparently someone with good sense intervened. They billed the penny for at least six months before giving up. How much do you suspect that cost them in mailing, postage, admin. fees, etc.?

 

[mmande]

Our Visa card is also thru Barclays. Received the same letter. Have never, ever once paid any interest on any credit card purchases. Must be a standard type procedure to cover their behinds in case everything goes south in these "we have no inflation" times.
It seems these days if you are a law abiding, upright citizen, you are looked down upon as somebody that is "weird".
This is my own opinion and I am not trying to force it upon any one else.
Mike

 

[Bald1]

I've had cards cancelled for lack of use but never for not carrying a balances…… but it makes sense. They issue the card expecting to collect interest and merchant fees. They're only getting the fees.

 

[CalifEd]

Credit card companies make their money off spendthrifts at all income levels and poor folks who get behind.

Don't forget the fees the CC companies charge the merchants; 3-5% adds up quickly - for the CC company.

 

[Empe]

Those of us who pay our balances on time to avoid the high interest rate payments are considered freeloaders by the credit card companies .
Makes sense I guess from their point of view.

 

[TJm15.38]

If they did that to me, I would drop them like a bad habit.

 

[Engineer1911]

My wife had a 0% GM auto loan. The loan would be paid off in September 2024. She had money to pay the loan off early but asked why? I suggested that paying off the loan 8 months early was a $320 per month pay raise. Her reply was a loud, "yes". Paid off loan in February, credit score in March dropped 40 points, and yes all our credit cards are paid in full each month.

American Express is currently offering 28% interest on balances up to $10K -- what a bargain. We use it for air miles.

 

[rockquarry]

My charges are generally small ones and always paid off monthly. As a result, my VISA credit limit was reduced from 20,000.00 to 5,000.00. I suppose it doesn't matter unless I want to charge a big purchase.

 

[Greyman50]

I use and have used Navy Federal Credit Union for many years. No issues and have 2 different types of cards from them and I always pay them off before the end of the month. Just transfer funds online and very easy. Have a card from USSA that only gets used 1 or 2 times a year. All have a $30K credit line. Thank God I've been fortunate.

 

[jeffrefrig]

Yeah, the credit unions are much easier to deal with than banks. I try not to carry a balance on my card, but sometimes ya just gotta pay asap and the card makes life easier like when I bought that M57 41 magnum. That transaction is all taken care of. But I will take a new car loan or two to my grave! I'll be buying a new car for my Mrs. in December, so that itch will be taken care of!

 

[glenwolde]

We have had a credit card for 50 yrs. and always pay it off every month and never paid a penny interest. I don't ever remember getting a letter that they were going to raise the rate. Larry

That may be because if you have the same rate as you did in 1974 then yours is probably higher than anybody else anyway.

 

[Chuck24]

Home Depot canceled mine because I didn't use it enough

 

[Rudi]

I would tell them, "go pound sand!"

 

[Toyman]

Wouldn't you think that to encourage more usage they would lower the rate ?

 

[rockquarry]

Wouldn't you think that to encourage more usage they would lower the rate ?

There are exceptions, but many people who use credit cards and carry a large balance don't need any encouragement.

 

[Mike SC Hunter]

Here. Some of the local stores where we are. Are charging 3% to all purchases with CC's........So......We went back to writing paper checks.......We use CC's very little......When we do. We pay it off at the end of the month.