Don't ever, if you can get a balance you have to roll over, but if you do you will be at the mercy of the bank, and they will take advantage of the contract which does give them the ability to bleed you dry. I agree it is in the contract but I also believe this is wrong. No credit card freezes the rate. So it is this ability to raise rates at will which is what I disagree with. This practice should be terminated and not allowed.
Because bottom line, people can refuse to pay. It will go to collection, and then can choose to pay a portion of what they owe or or pay nothing. And after 2 or 3 years they will owe nothing as long as they ignore the debt entirely. There credit may get screwed up for a time but there credit must already be screwed up already. So I say play by the rules and don't pay them a dime. First get all the facts and understand the rules of the GAME. She can play hardball too.
In a few years another dumb bank will send her a new card in the mail once again. They never learn.
Somebody around here has had their head up their butt for too long. The scumbag banks haven't had to have a reason for doing anything at anytime. And they have taken advantage of it to the max. And no, you didn't have to have a late payment with them or anybody else for this to happen. I have several open, unsecured lines of credit both in my name and in the name of my business even though BLAH, BLAH, BLAH...
Evidently you're referring to me as having had my "head up their butt for too long".
So let me simply repeat since you evidently are incapable of reading:
I have a Bank of America credit card. I've had a satisfactory account with them since 1994. My rate was recently increased from about 9% to 15%. In the letter they sent me informing me of this change, they said that I could stay at the same rate (9%) provided my made no new charges on my account. I could simply pay off at the old rate under my prevailing terms at the time.
When you make a late payment, they raise the rate. It's possible if you make a late payment on another credit card, or have some other type of problem with some other type of account that appears on the credit report, they raise your rate or change your terms.
By the way, Bank of America was not the only one who made this same deal. So did American Express. I have a business account with American Express. A large, unsecured credit line that I use for rehabbing rental property. The rate was increased from 9.9% to 11.99%. I could stay at the 9.9% as long as I paid as agreed, and did not use the line for further charges.
I would suggest that people who had their rates increased to 30% had something going on that you don't know about. If this happened to you, then i would suggest you haven't told us the entire story. Either way, I'm not defending the banks. But let's face it, if you bought something and charged it, you owe for it. The agreement you signed permits the banks to change the terms...you know that, or should have known it.
I would suggest to those of you who don't like the new deal with your bank, think hard before you "revolt". There are consequences. Your credit score is now used in most areas of your life...and by not paying you will be trashing your credit score, at a minimum. Would it surprise you to know that insurance companies check your credit? That they base their rates on your credit score? That they may decline your insurance completely if your credit is bad enough. So in your effort to hurt the bank, you may end up hurting yourself more than you currently can foresee.
IT