'Muscle' Silences Credit Card Adversaries

[salin]

Source: ABC News

'Muscle' Silences Credit Card Adversaries
Travel to D.C., but Refuse Demand to Reveal Financial Information in Exchange for Chance to Testify

By VIJA UDENANS
March 13, 2008

Christy Mylar Smith and her husband paid their Citibank card bill on time for years -- but when they paid late twice in one year, their interest rate increased from 12.9 percent to 31.4 percent overnight.

Steven Strachan has a FICO score in the high 700's, has always paid on time, never gone over the limit, yet Chase increased his rate from 10.99 percent to 24.99 percent.

----

At the 11th hour, the credit companies found a way to stop those that had traveled to Washington today to tell their story to the Congressional panel on consumer credit.

The banks whose practices were about to be discussed on Capital Hill were demanding that those testifying before Congress about credit card practices sign a waiver that allowed their personal financial information be revealed to the public.

The Republicans on the sub-committee were backing the banks' requests and a procedural battle would have ensued.


Read more: http://abcnews.go.com/Business/story?id=4448963&page=1

[Demeter]

1. Outrageous!

I paid off (cut up and cancelled) my credit card in 1998 and haven't looked back. So glad I did!

[roguevalley]

56. thank you, Joe Biden and Co. for making this all possible. fuck them all.

[slampoet]

87. Clinton voted for this too and that is why she lost my vote. Biden lose me that way too.

And it really is too bad for Biden, he was my kind of candidate.........sort of.

[Frank Cannon]

2. Credit card companies today make Al Capone's Mafia...

look like Kiwanis.

I'm glad to see that people are finally catching on to their shit and are destroying their cards.

[xchrom]

3. recommend -'The Republicans on the sub-committee were backing the banks' requests' - and that's why.

[The Backlash Cometh]

4. How can these people even manage to look at themselves in the mirror?

How despicable.

[TheCentepedeShoes]

5. Easy to face a mirror

when you don't cast a reflection.

[xchrom]

6. they're just stickin by their 'trickle down' guns.

oh and they are the worst trash evah.

[Steerpike]

7. They have very, very expensive mirrors.

Money is the salve that soothes their dry and withered souls.

[The Backlash Cometh]

8. Actually, I know how they can live with themselves.

I see it on a local level how they convince themselves to do heinous things to their own neighbors or people they're suppose to be protecting. Either they have six children to put through college, or they have cancer and want to leave something for the family, or they were screwed over themselves by the network and think they're just getting their share; or they think that somebody is going to do it and get the prize, might as well be them. Lots of reasons why a person would vote against the interest of the public.

Believe me, in this country there is always a reason to convince yourself to do mean things to other people. It takes a tremendous amount of real faith (not that cheap kind of bandwagon kind of faith that the Republicans subscribe to) to do the right thing and not propel the cycle of abuse.

[Divine Discontent]

35. read you loud and clear!

you deserve a pat on the back for that post!

AMEN!

Soooooo many people I know take the easy way out on everything, and wonder why do it right anyways... because it takes a tremendous amount of self-respect and faith, to not rip off people with legal scams. I could rip off the people around me sooooooo easily, but that would devalue my soul for worldly gain, and I'd lose the person I was raised to be. Sometimes I wonder about the actions I see from others, 'did your parents not teach you ANYTHING?'... sadly, I think they have shown themselves to have taught the wrong way, but we are all still responsible for ourselves at the end of the day.

[Gormy Cuss]

27. Shout it out.

edited because someone else has posted the names below.

[jakefrep]

33. You might want to update that list

Paul Gillmor is dead.

[Gormy Cuss]

37. So's my list. In fact it was gone ten minutes before your reply.

Someone posted the current member list below.

[Tab]

9. Whatever happened to the usary (sp?) laws?

Or did they get avoided in the fine print?

[groovedaddy]

10. Those laws have been lobbied away - the lobbyists for the industry

wrote their own laws and had their buddies in Congress pass them - for a fee, er, campaign donation, of course.

[acmavm]

11. Congress? I think not. These people are Joe Biden's favorite

constituents.

[mopinko]

36. killed by st. ronnie np

[KamaAina]

80. Surprise! An obscure Extreme Court decision allowed the co's to sidestep them

the decision stated that the laws of the state where the card is issued, not of those where the card holder lives (and spends), would prevail. Hence the rapid flight of card issuers to states with lax laws such as South Dakota (which actually gutted its usury laws hoping to attract a new industry!), and yes, Delaware.

edit: wording

[LiberalFighter]

104. What usury laws? The payday loans are made by loan sharks and made legal.

[SOS]

107. Usury laws became obsolete in 1978

with the Marquette Bank decision by the Supreme Court.
Banks now incorporate only Delaware and South Dakota where there are no usury laws.
The interest rate can be set based on the state of bank incorporation, not where the customer lives.

We The People were sold down the river long ago by vicious Wall Street predators and their employees (aka the US Government).

[atjrpsych]

12. credit card companies

I have had the same experience. B of A sent my statement to a completely wrong address in NYC, finally I called them to find out why I hadn't received the bill. They had some crazy address in their system, that wasn't even close. The employee on the other end said "I should know when to pay my bills with or without my statement." This was before statements were available on-line. Even though I had always payed my statements on time, they ended up hiking my interest rate to about 26%! Credit card companies will now increase your percentage rate if you pay 1 or 2 payments a day or two later. They really need to be investigated!

[LynzM]

17. Not only that....

But they can increase your rates if you pay *OTHER* bills late, not just theirs!!! It's absolutely ridiculous! :grr:

[leftrightwingnut]

19. B of A can be real assholes.

I always pay off my balance every month well before the due date. The bastards hold the checks, post them late, then try to charge late fees and bump up the interest rate. Had a number of nasty telephone sessions with them about this. Since I paid electronically and therefore have proof of exactly when the payment was made and threatened to have them investigated, they stopped trying this trick -- at least with me.

[PinkyisBlue]

38. Bank of America

This bank is the worst of the worst. My husband and I had a credit card with a bank that was bought out by B of A. We always pay off our balance in full by the due date, which apparently B of A doesn't like, because then they can't jack up the interest and late payment fees. Last fall, I was waiting and waiting for the statement to arrive in the mail; I think it's supposed to arrive two weeks before the due date, though it rarely does. Anyway, the statement never arrived, so I had to telephone the 800 number to get my exact balance and went to the B of A bank branch to pay off the balance before getting hit with a late fee. The statement arrived AFTER the bill was due!!! After that, we stopped using that card and only used our other credit card. There was no activity at all on our account, and a few months later, I noticed an errant AOL charge. That took a lot of time, letters, and several phone calls to resolve. We have since closed the B of A account. I called the 800 number later just to make sure it was really closed, as they don't send a notice stating your account has actually been closed. My advice is to not do any business with B of A and, if this isn't possible, pay your credit card bills and loans at an actual bank branch, which credits your payment right away and will issue you a receipt on the spot.

[woofless]

82. B of A story

I had a Visa through B of A. I paid on time every month and always more than the minimum. After having the account more than 5 years they "declined to renew" the card citing adverse credit report. I don't deny some slow pay and/or late pay. I live on Social Security, shit happens. It hurt my feelings frankly. Here I thought I had a partner and I held up my end of the bargain. I pulled all of my business shortly thereafter and put it with a credit union who thought I was worthy of an auto loan. All the big boys can kiss my ass.

[shanti]

102. oh yes!

that story sounds like mine, with a happy ending:) i haved used a credit union for almost 20 years now and love it. my son
just got assessed $100 in overdraft charges for a $3 transaction. b of a can bite me!

[PinkyisBlue]

106. You're much better off with a credit union than with Bank of America.

They actually did you a favor by not renewing your card.

[Xipe Totec]

100. Definitely BOA tactics

They squeeze the life out of you till you croak.

[area51]

25. Welcome to DU, atjrpsych. (n/t)

[Lochloosa]

72. Welcome to DU atjrpsych

:toast:

[leftrightwingnut]

94. Hey, yeah! First post!

Welcome to DU! :hi:

[nuxvomica]

13. Here's a list of committee members:

Subcommittee on Financial Institutions and Consumer Credit

Democrats:
Rep. Carolyn B. Maloney (NY), Chair
Rep. Melvin L. Watt (NC)
Rep. Gary Ackerman (NY)
Rep. Brad Sherman (CA)
Rep. Luis V. Gutierrez (IL)
Rep. Dennis Moore (KS)
Rep. Paul Kanjorski (PA)
Rep. Maxine Waters (CA)
Rep. Rubén Hinojosa (TX)
Rep. Carolyn McCarthy (NY)
Rep. Joe Baca (CA)
Rep. Al Green (TX)
Rep. William Lacy Clay (MO)
Rep. Brad Miller (NC)
Rep. David Scott (GA)
Rep. Emanuel Cleaver (MO)
Rep. Melissa Bean (IL)
Rep. Lincoln Davis (TN)
Rep. Paul W. Hodes (NH)
Rep. Keith Ellison (MN)
Rep. Ron Klein (FL)
Rep. Tim Mahoney (FL)
Rep. Charles A. Wilson (OH)
Rep. Ed Perlmutter (CO)
(vacancy)

Republicans
Rep. Judy Biggert (IL), Ranking Member
Rep. Tom Price (GA)
Rep. Deborah Pryce (OH)
Rep. Michael N. Castle (DE)
Rep. Peter King (NY)
Rep. Edward R. Royce (CA)
Rep. Steven C. LaTourette (OH)
Rep. Walter B. Jones (NC)
Rep. Shelley Moore Capito (WV)
Rep. Tom Feeney (FL)
Rep. Jeb Hensarling (TX)
Rep. Scott Garrett (NJ)
Rep. Ginny Brown-Waite (FL)
Rep. J. Gresham Barrett (SC)
Rep. Jim Gerlach (PA)
Rep. Stevan Pearce (NM)
Rep. Randy Neugebauer (TX)
Rep. Geoff Davis (KY)
Rep. Patrick T. McHenry (NC)
Rep. John Campbell (CA)
Rep. Kevin McCarthy (CA)
Rep. Dean Heller (NV)

http://financialservices.house.gov/subassignments.html

[EnviroBat]

14. Hey CC companies, guess what I'm gonna do with W's check!

That's right, pay off the balance on my card and cancel it. Fuck you.

[dixiegrrrrl]

65. There is actually a "smart way" to cancel a card

I found it when we canceled Bank One's Discovery card
( Bank One is a major slimeball)
A consumer group recommended the following letter:

Company Name
Address
Wilmington, DE 19899-8650 ( or whatever)

RE: Account XXXX XXXX XXXX

Sir or Madam:

In accordance with applicable agreements, regulations, and laws, you are hereby requested and required to close my above listed account.

If any new purchases or charges are applied to the account subsequent to this letter, you are hereby notified that I am forever not responsible for them.

Please list my credit line as "Closed by consumer request" with the credit bureaus.

Please flag my account such that you will not sell my personal information for marketing purposes outside of your company.

Please flag my account such that your company or its affiliates will not solicit me.

Please send me a letter confirming that all of the above actions I have requested have been taken.

Sincerely,
**********************************************************


When you close a card, it actually goes as a negative with the Credit bureaus unless you ask for "Closed by customer request".

I had to send 2 follow up letters after this one before I got them to send me a confirmation letter.

5 years later we got a solicitation from them !!!!

:banghead:

[EnviroBat]

78. That is a good idea.

None of these bastards has our best interest in mind...

[susanna]

105. This is just awesome.

I didn't use with my last cancellation, but in the future this one's in the Greatest Hits file. Even if it does take three letters to get the confirmation. Thanks for sharing it. :-)

[The Doctor.]

15. So many times I've been tempted to get a credit card to have 'just in case', but

we've always been fine without one.

We're plied with offers all the time. They sit next to the fireplace minus photoprint for kindling.

Cut them up, get rid of them.

[PA Democrat]

18. If you want to stop receiving those offers, you can "opt out"

There's information and a link and a toll-free number here:

http://www.ftc.gov/bcp/conline/pubs/credit/prescreen.shtm

I did it several years ago. It takes a few months for it to completely kick in, but after that it's wonderful. I get zero credit card offers now. It's nice to see your junk mail drop, but another plus is that you are reducing the risk of identity theft.

[Dr.Phool]

20. Thanks for that info.

Last week alone, I got more than 10 solicitations from Citibank alone! One day there were 2 for me and 2 for my wife, just from Citi. I probably had 15 more from other banks.

[arikara]

40. I've started taking their handy postage paid envelope...

stuffing it with everything they send and more to make it really fat and heavy... and sending it back to them. I just put a big X through the application form so there's no mistake.

The person who gave me this idea got so annoyed at one company that he wrapped a brick, taped the envelope to it and sent it to them. Because the envelope just says postage paid, I am told that the post office will send it and bill them no matter the weight.

[Sherman A1]

69. Precisely

That is what I do. I am sure to shred anything with my name and address before mailing. I enjoy thinking of this as a corporate subsidy to the Post Office, which can always use our help. Besides how much do these companies make in subsidies from our government with our tax dollars?.

[AllyCat]

70. I've done this for years. If they send a "postcard" that is postage paid,

just tape that to the outside of whatever you are sending back to them. Make sure your name and address is clearly visible or they won't remove your information from their database. If I'm really inspired, I write a diatribe about reducing waste and recycling their junk.

[LuckyLib]

53. Stuff their envelopes with their own material (complete with your name/address) and mail it back.

Because it's "postage paid" they have to pay for it. That stops it after just a few of those little "packages."

edit: arikara above had already made the some suggestion. It works!

[japple]

83. I send their stuff back to them, too, as well as all the other

junk mail I get. I send sales flyers, grocery store sales pages, and one time I even sent some fabric swatches I had received from Blair Clothing Co.--the real cheapo polyester kind. I don't get many solicitations these days. For awhile I was getting 10 +/- a week, most of them from Salt Lake City, UT.

[The Doctor.]

51. Thanks! (but I like having tinder around)

Perhaps for the sake of the trees...

[Broadslidin]

16. But, But.... without use of the 'credit card' tool, You will just make, tracking our movements.....

a wee bit more difficult for the N.S.A. :patriot: ghouls.

[better tomorrow]

75. don't worry...they will put implants under your skin anyway....

[Wapsie B]

21. If those people would have to reveal their finances so should the banks.

Let Forensic Accountants go over them with a fine tooth comb.

With all the far right's anti-government rhetoric I'm surprised some of that rage has not been directed towards banks. I'm talking about the Tim McVeighs (sp) of the world.

[Tempest]

22. Why would the Repugs be so stupid

To shoot themselves in the foot like this?

Just to satisfy a few bigwigs, they have pissed off tens of millions of voters.

[LynzM]

34. Only if those voters are aware

How many people do you think actually heard about this, or paid attention? Think it makes the MSM tonight? :rofl:

[Tempest]

42. It'll make the MSM

Especially in the areas of the country where the people came from to testify.

Then it's up to the Democrats to make it a campaign issue in the fall.

[Zorra]

23. Everyone should simply, all at once, stop making payments on credit cards.

This would collapse the banking system, and not only they will be completely powerless to collect the debt incurred from their usurious practices, they would be rendered completely powerless altogether.

It's an effective method for participating in legal non-violent resistance against fascist control.

[fascisthunter]

49. That's a Great Idea, Actually

[Outlier]

55. if you

If you can get enough people to ignore a law they can't enforce it. Look at illegal immigration, the mexicans ignore it, the businesses that employ them ignore it, and the workers whose wages are suppressed are to dumb or powerless to do anything about it. That will change once the recession fully takes hold. The labor unions will have the public on their side for a change. Same thing with the credit cards, Congress is trying to get the banks to work with the people late on their mortgage payments. That will migrate to those late on their car payments and then to credit cards. Part of the reason the banks are jacking their rates is this is one of the profitable sides of their business and they are getting killed on the mortgage side.

If you do have high rates look to refi at anouther comapny. Don't pay 20% when someone else will take 5%. Just don't get behind.

[Zorra]

93. Yes, it sometimes works that way. However, it is not illegal to deliberately stop

paying on credit cards; if everyone did it, banks would not have the resources to pursue civil litigation. Even if they did, you can't get blood from a stone.

If someone that has major credit card debt has few or no assets and stops paying off their credit cards, banks will sometimes be forced write to off debt rather than pursue an expensive and fruitless litigation.

I'm not giving any legal advice here.

However, concerned, affected individuals may want to look into this further, especially if they are interested in dropping out of the system and relocating without leaving a forwarding address.;-)

[KamaAina]

81. Or how about a "No Charge" day?

where no one charges anything on a specific day, like how you weren't supposed to buy gas on a particular day, or the "Great American Smokeout".

[Zorra]

24. dupe-delete

[Aviation Pro]

26. Four years ago....

...I cut up my credit cards and never looked back. Last week I was shopping for a gift at a jewelery store and when I made my selection, the salesperson tried to foist a store credit card on me with the enticement of zero interest same as cash for 90 days. I laughed, paid cash and walked out owning what I had just bought.

Cash is fucking king. If you can do it, cancel your cards. If you're mired in debt, Chapter 7 is still available, you have to jump through some hoops but the bottom line is the following - The credit card companies assume all the risk of an unsecured loan. They've been fucking the American people for too long. Time to fuck back.

[Dr.Phool]

29. Same thing with me yesterday at Home Depot.

I was looking to buy a tiller. The woman said I'd get $25 off if I applied for their credit card.

I said, "That's what, about 30% interest"? She walked away, and I went to Lowes and bought the tiller for cash.

[Aviation Pro]

39. Although it's somewhat amusing....

...to see the shocked looks on the faces of the salespeople, I can only speculate as to what they're thinking when they realize that there are people out there who are disciplined enough not to fall for this scam.

[Hannah Bell]

62. I think most salespeople

don't know it's a scam.

[Chovexani]

84. Uh, they do.

Considering the average retail employee has as much knowledge as the average consumer, because--OH NOES--they are also consumers.

I worked at Sears, and everyone knew the Sears card was a scam. The problem is salespeople are many times required to sign up a certain number of people for the store card, or at least offer it, or else it's a write up.

[Winterblues]

28. When I was young we had "Usury" Laws

Anyone that charged over 10% in Interest broke the Law. Nixon did away with that one and I think it is time we brought it back.

[prairierose]

41. Nope, don't blame that on Nixon...

It was 1980. The neocons had been loosed. SD's legislature passed the first law that allowed banks to charge higher interest rates at that time up to 25%. It was all about money then and people had no idea what would happen.

It was one of the first areas the neocons successfully deregulated. In 1978 the Supreme Court ruled in Marquette vs. First Omaha Service Corp that a national bank could charge interest based on their home state. Many states had usury laws; some had no usury law or very generous rates. SD's legislature was influenced by outside lobbyists. I think that was one of the first times that really happened. Before that no one really cared about us which was much better for us.

The law was passed and signed by the governor immediately and Citibank moved their credit card operations to SD as soon as they could. Now when they go under, SD will suffer because Sioux Falls where they are headquartered is the only town in the state with any kind of mortgage problem like so many other places in the country.

As far as I remember, Delaware was the other state where many of the banks moved credit card operations.

[Winterblues]

46. I don't accept that because I remember interest rates at over 10%

long before Reagan came to be. It was one of the things that sparked the inflationary period of the mid 70"s along with OPEC being formed and oil prices sky rocketing. It was during Nixon's time that Interest rates first exceeded 10%..

[Hannah Bell]

63. I think you're thinking of fed interest rates...

that affected housing loans.

[sybylla]

68. States had their own usury laws

It used to be that when you looked for the rate information on the back of a credit card application, you would see different rates applied to residents of different states.

The federal maximum as Reagan came into office was 21%. Some states may have been at 10% in the 70's. Some may have been higher. With the federal limit lifted and banks deregulated, pressure was put on the states to increase their usury limits. And it worked. States individually began to increase the maximum percentage rates as their usury laws took precedent over the federal limit. I lived in Wisconsin at the time and worked in a financial environment. My state stayed at 18% for a very long time, much longer than many others. Eventually a Republican administration lifted our limits to ungodly percentages as well.

In the intervening years, I do believe most of the usury laws have been done away with. I'm no longer in the financial environment, but judging by the credit card apps that come through my mail box, that's the case.

[eilen]

101. The tax laws r/t interest also changed under Reagan

Before Reagan, you could deduct the interest paid on your credit cards from your taxes, like the mortgage interest we can currently deduct. He changed that.

[whopis01]

76. It is a little more complex than that and predates Nixon

The interest caps are (and were) decided on a state-by-state basis.

However, the National Bank Act of 1863 established the system that created the national banks. The banks could charge interest, capped at the amount determined by state laws where they were chartered.

In the late 60s/early 70s, banks were offering credit cards across state lines and were effectively exporting the higher interest rates of certain states into other states, sidestepping the local state laws. This eventually went to the Supreme Court in 1978 and it was unanimously decided in favor of the banks being allowed to do this.

Interestingly, it was a national bank (Marquette) that took another national bank (First of Omaha) to the Supreme Court over this.

[Heywood J]

30. "... were demanding that those testifying before Congress about credit card practices sign a waiver

That's nice. They can demand anything they want, and people are free to tell them to go fuck themselves. They have no power to compel anything, they aren't law enforcement or legislators of any stripe, and this should go down as witness intimidation.

"Go ahead - make my day."

[The Wielding Truth]

86. You are so right. We can stand up or bend over. n/t

[goforit]

31. Well, what are ya all gonna do about it when laws are not enforced???

[Oilwellian]

32. If you're late on any payment, they'll jack it up

My husband & I co-signed a loan for my youngest son to get a car...he was late on his payment one month and our next credit card statements showed ALL of them had jacked up their interest from 25-31%. They would NOT work with us in lowering the rate so we had no choice but to work with a consumer credit service. They will be paid off next month (doing the moonwalk) and we will NEVER play that game again. It was absolutely disgusting to see how much they were planning to steal if we didn't get help. It ruined our credit and stopped our plans to build a home for quite some time. And people wonder why there's no more money in the market to buy consumer goods. Between energy & food costs, this is probably the third major reason why people's wallets have butterflies flying out of them.

It's outrageous they bullied these people and prevented them from testifying to Congress. 'Muscle' is a perfect name for these thieves.

[Tempest]

43. You don't even have to be late

Fall behind on any installment payment, and all your card rates go up.

[brentspeak]

44. Time to run some ads in those Repubs' backyards

"And this is how your congressman is representing you..."

[truth2power]

45. I'm at a computer today that doesn't log me in automatically

like my computer at home.

I hafta' ask...why is it that there are ads for the stinkin' credit card companies right on the OP (I would be insulted if I were the OPer) and also at the end of the thread?

I never see these ads because my home computer is set to have me logged in all the time. It's not the idea of ads...capitalism at work, I guess.

But it seems like a slap in the face to see ads for predatory lenders on a thread where people are trying to raise the issue of how they were screwed by these very same companies.

Just sayin'..

[LynzM]

52. Google ads are keyword-driven

So you'll see ads for Credit cards on threads where they're being talked about, for food types on food threads in the lounge or cooking, for cars if people are talking about cars, etc. The idea is that if you're already thinking/reading/looking at that word, you might have an interest in an advertisement about it.

[cliffordu]

47. I don't have credit cards anymore. Never again.

FUCK THEM!!!!!

[fascisthunter]

48. Republicans Once again, Screwing the Average American

while doing the bidding of corporate America.

[ElboRuum]

50. OK. I think it's about time to call credit what it really is given those who provide it.

"Loan sharking".

[AllyCat]

54. Crooks. And the Repukes want LESS regulation? Oh please.

I got a thing from Consumer Reports to call Congress to do something about these stupid banks. I can't believe the banks were able to get away with this while the little folk just have to sit and take it. Corporate Personhood means greater personhood to corporations than to individuals.

[strategery blunder]

57. The bank executives should've been forced to sign their own waiver

ba$tard$. :grr:

[xxqqqzme]

58. OK, cover me w/ molasses in January & call me slow but

how can credit card companies DEMAND the witnesses sign waivers? Unlike criminals w/i the administration, I'm guessing these people will be under oath, have records, letters, statements etc. DEMAND?!? And the publican'ts are happy to join in the clusterf*ck? no surprise there...just wondering if any of the credit card slammed are publicans?

[Gormy Cuss]

66. They can't, without help.

The credit card companies asked for the waivers. Their Republican buddies are the ones who made the demand with authority.

[grace0418]

59. I pay off my credit card in full every month, but you have to be vigilant because they

will try to screw you anyway. Citibank tried to charge me $70+ in fees and interest last month for sending in my credit card payment late. But I pay all my bills online through my bank account (Chase). Chase sent me the proof that the electronic payment went through on time and suddenly Citibank was very accommodating, telling me that "as a gesture of good will" they were refunding the charges. I wrote back and told them that it wasn't a gesture of good will to correct a mistake (or should I say "mistake") they'd made, it was simply correcting a mistake. No doubt they will try to raise my rates as well, not that it matters because I never carry a balance, but still.

This past month I set up the payment to arrive a day early, even though I don't feel I should have to do that since the electronic transfer happens in an instant. I then emailed Citibank and gave them the transaction number and said "Here is the transaction number for my payment. If you do not receive in on time, then there is a problem on YOUR end which YOU need to correct. If I see a single charge or late fee on my account next month, I will take my business elsewhere." They sent back a patronizing reply.

I hate Citibank but I LOVE getting American Airlines miles. I have almost enough for 2 first class tickets to Australia. I guess it's worth the extra attention I have to pay every month to make sure they don't screw me.

[Grinchie]

60. They Got this Idea from Hilary Clinton.

They saw how reluctant Hilary is to release her tax returns, so they used the frightening specter of transparency against these rabble rousers.

I wonder if Hilary Clinton would be able to say Anything regarding this event without looking like an even bigger hypocrite than she already is.

Where is Hilary's Tax Return? I want to see it, along with about 150,000,000 other people that learned how to read numbers.

I find it hard to believe that the Clinton's would wait till midnight on April 15th to file. If they do, then maybe everyone should.

[Hannah Bell]

64. nothing to do w/ this topic. n/t

[L0oniX]

61. Citi can suck my balls. I'll never use their card.

My shredder is almost shot because of their constant bombardment of Card apps.

[FlyingSquirrel]

67. RE: Chase, allow me to introduce you to two bumper stickers on my truck

To make your own, go to http://www.makestickers.com/home.asp

$4.95 for a single sticker including shipping.

:D

[KaseyM]

71. Constructive ideas wanted

We have B of A accounts. Interestingly, we check our balances all the time and seem to have money, then we get a notice that we overdrew the account. And we are charged a fee.

Recently, I moved money into a B of A account from Fidelity. My bank said they never got it so I asked Fidelity to look into it. Fidelity tracked down the deposit and indeed it was there.

Now that I see other people commenting on B of A, I'm going to move my business back to the credit union.

Meanwhile, any constructive ideas on what to do re the excessive interest rates? I'm not close to paying off balances and cutting up the cards.

[FlyingSquirrel]

79. Well... you have a few options

1) Go to consumer credit counseling, they'll work with the credit card agencies to drastically lower the interest rate. Downside is, you'll have to get rid of the credit cards, and you have to make a single monthly payment that you have to work out to happen at the right time for all your creditors' differing due dates. I almost went that route but it was too complicated, I didn't want to have to close all the accounts and I knew I would take a hit on credit rating.

2) If you're married, consider doing what I did. My wife's credit was worse than mine when we started out - but I piggybacked her credit on mine, adding her to my accounts that were nearly paid off. Or you could remove your spouse from your accounts that are maxed out. Now my wife's credit is better than mine, and if I chose to do so I could take one of the many balance transfer offers she's getting in the mail and pay off higher interest cards that way. I already transferred Chase a long time ago (but the bumper stickers remain).

3) As soon as they start with the usurious rate, you have within 60 days to cancel the card and refuse in writing to accept the new terms. You can pay off the card under the old rate. That's what I did with another account. Downside is then you have a closed account which is not great for your rating, but neither is an account with a high balance that you can never seem to pay down. So it's more expensive and STILL bad for your credit.

4) As far as banks go, I don't know. I've gotten into a groove with B of A where I know how everything works and that helps me avoid charges. But I know a lot of people hate them and probably with good reason. I personally have several different accounts (three checking, three savings) all with the same bank, and online banking. I use one account SOLELY for checks and bill payer. I balance this on a spreadsheet. No reason that account should ever be overdrawn. I use a second account SOLELY for debit card purchases. Since BoA is so quick to update, I can tell online or by phone how much I have (and have it budgeted so I know when it should be running low, and can check more frequently). Very rarely does that account get overdrawn, maybe 1-2 times a year when I get careless. The third account is for specific items that I don't pay for every week but know will be coming up sooner or later. I have a certain amount deposited into it. I always check that balance before using it. (I write on the cards with permanent marker to keep them straight) Then the three savings accounts are various funds (vacation, school, automotive) and I put a little into each every payday. Since all the accounts are the same bank, transferring between them online is simple and instantaneous.

Good luck!

[KaseyM]

89. Consumer credit counseling (nonprofit)

I have an apptmt for Tuesday to talk to a counselor. They say they will consolidate all my CC debt, and negotiate with each CC company to reduce the rate of interest. I do not want to close ALL accounts. I do occasionally order things online and need a CC for emergencies.

I regularly receive balance transfers offers from Chase with promotional 4.99% until the balance is paid. That looks awfully attractive. What's the fine print on these offers? Anyone know?

[FlyingSquirrel]

92. I wouldn't trust Chase PERIOD.

They took over my BankOne account and raised it from a FIXED 7.9% to 21.99% and I know they would have raised it even more. That's the one I closed. Even after I closed it, they tried once to raise the rate to 22% again and I had to call and say HEY, I closed this account what are you trying to pull?

Also they like to change your due date every month to try and trip you up. I wouldn't deal with them, period. I also would not deal with WAMU. They took over my Providian account and immediately raised it 5%. I should have closed that one but for some reason didn't. (My wife also got laid off from WaMU when they outsourced all their customer service overseas).

So far Citibank has not messed with me, but I have heard stories. Still they've been ok for me. I did a balance transfer on the other Chase account (the one I actually opened originally as Chase) and they were true to word, did not charge interest for a year and then started charging what they had said they'd charge.

To be honest, I still don't trust them and don't trust Capital One either. My best results have been with regular banks and credit unions, the smaller the better. It's harder to get credit from them, but once you have they probably won't pull any stunts.

Still if you're desperate to get out of a bad situation (it's been more than 60 days since they jacked your rate up) and Chase is the only one offering you a balance transfer... Well I don't know. You might want to look online with a different company. Chase is just the worst I have ever dealt with and a few people I have talked to have said the same.

Also anyone you get a balance transfer from will usually charge a balance transfer fee of 3% or so, and if you charge anything else on that card, they'll apply your payments to the lower interest stuff first.

Oh, by the way... I believe CCC will let you keep one account open. Could be wrong on that, I might have been dealing with someone else with a similar name - it's been a few years.

[Grinchie]

96. If you can't afford to pay cash, then just don't buy it.

As far as debt consolidation offers, the big catch is usually a tiered rate on Transfer, Cash Advance and Purchases. Each being calculated separately, but only one tier gets payed off first.

Transfer Debt - 4.99% All payments go toward this until it goes to 0.

Cash Advance 18% to 22% - This is next priority

Purchases - 18% This gets paid down last.

So, if you take this seemingly good offer, then use your card for "Emergency" like paying your ongoing Cable TV subscription, you will be caught in the web.

Don't forget the massive fee's, minimum charges and other ways they steal your money. These usually go into a high tier which get paid down last.

If these structured unsecured debt vehicles were not wildy profitable, they would not offer them.

Just destroy your cards and pay cash. You can ease the withdrawl by using a debit card, but beware or "Complimentary Overdraft Protection" as the fee's will kill you. Atm's usually come with a Check card feature these days, and that's all I use. If you run into the $700.00 limit, like when ordering a new computer online, just ask them to use multiple transactions.

Most of all, and I cannot stress this enough, DO NOT EVER PAY OFF INSECURED DEBT (Credit Cards) BY CREATING SECURED DEBT (Home Equity Loan or 2nd Mortgage). If you do, they have succeeded in transferring your wealth to the financial system. This was the mantra on the early 2000's -- Debt consolidation loans..

If you are forced to buy food on credit, then it's probably too late.

I use a simple philosophy when purchasing items now. If something looks cheap, I won't by it. If it has any defects, I won't buy it. If I don't have an immediate need for it, I sleep on it, and I usually realize that I did not need it after all. I will not buy tools that I will not be using on a weekly basis. I borrow stuff from my neighbor who has a garage bursting with stuff he never uses. I use trade and barter of labor and services -- it yields new friendships and spreads knowledge. Read a lot -- Try Rich Dad, Poor Dad. The philosphophy presented in the book is worth gold. Avoid DooDads like iPods and other items that are really worthless if you need to raise cash. Cancel CableTV and watch YouTube. Invest in High Speed Internet. Think of Cost of Ownership -- (Keeping things Safe, warm and Dry, and the cost to do so).

Cut up your cards, if you do, you can't incur more debt. Never pay the Minimum payment, I always rounded up to the next 100, but I recomend at least 10% of the balance if you can.

[harun]

73. They need to cap them at 15%

[Fed_Up_Grammy]

95. I have a card from CITI at 3.99%---had it about 8 years.

[better tomorrow]

74. I caught a piece today that talked about the rebates....

and how many people will use it to pay off their credit cards or put gas in the tank or food on the table. So much for stimulating the economy....

I know mine is going to the CC companies......sigh!

[sarcasmo]

77. Who in the Republican mafia were paid of by the credit card companies?

This is far worse than splurging 4grand for a smoking hot call girl.

[Chovexani]

85. It's not just Republicans dude.

One of the biggest Credit Card industry shills in Congress is our very own Joe Biden (D-BofA).

[RainDog]

88. k&r

I always pay my full balance on my card (b/c I don't use it much at all.) I missed two payments for something like 30.00 after I'd been with the same company with an excellent rating for years... twenty years, in fact. I was sick and I lost track of my bills. I paid off the balance in full when they called me, and they still raised my rate to 21%. After 20 years of a perfect record with them. I called them to complain and was told that if I paid on time for 6 mos. I could ask for a better rate.

Would I want my financial information made public? No.

Do I want to bitch slap the so-called lawmakers who think gouging citizens... oh, wait, consumers... is more important than some justice?

yes.

some days I think the republicans should be dragged out of Congress and tarred and feathered and run out of town. But that's when I'm feeling generous.

[KaseyM]

90. Dems better nail the Repugs on this issue

The Republicans voted to allow the banks and credit card companies to screw consumers with outrageous interest rates. So consumers have to reduce spending big time since so much of the payment is going to interest, not principal.

I saw in the newspaper that a couple upscale Macaroni Grill restaurants in my general area are closing. People just have to cut back on discretionary spending.

Today saw that the Catholic schools are losing students. Parents cannot afford tuition.

Yet public schools have to lay off teachers because of the state budget crisis.

What a mess.

[HockeyMom]

91. Lost two kids in school in the past month

They are leaving Florida and moving back to Michigan and Minnesota.

[ozone_man]

97. These credit card banks are criminals.

As is the FED. Perhaps an outcome of the impending finacial doom we are facing is a change in how we create our money (out of thin air now) and how we lend it. 20% or 30% are criminal interest rates.

"If the American people ever allow private banks to control the issue of their money, first by inflation and then by deflation, the banks and corporations that will grow up around them (around the banks), will deprive the people of their property until their children will wake up homeless on the continent their fathers conquered." - Thomas Jefferson

[Eric J in MN]

98. A more limited waiver would have been fair.

The people testifying shouldn't have been allowed to say anything with no chance for the credit card companies to specifically respond.

Of course, the broad waiver allowing the credit card companies to reveal anything wouldn't be fair, either.

[many a good man]

99. Credit companies are good to lend you a hand when you really need it.

[susanna]

103. This is interesting to me.

My husband and I (different last names, I kept mine) both have accounts with the same credit card company. My credit score is ever-so-slightly better than his (over 800+ and I'm higher by only 2 points). Yet - last year - I got a mailing notifying me that I was being sent into a higher interest rate. He didn't.

I originally couldn't figure the whole thing out, except I did have ONE late payment two years ago. My sister was house-sitting while we were on an extended trip and mistakenly filed my credit card statement with junk mail (i.e., through the shredder). Once I got home I realized the issue and contacted them immediately to arrange payment, explaining what had happened. I wonder if that one late payment, after fifteen years of responsible payment history, led to my interest rate hike. My husband was even floored with the switch. I cancelled the card and got a new one. Tough cookies for them, I was a pretty good customer. Hubby left, too. Oops! Lost two good customers.

I didn't go to Capitol Hill to testify, obviously (knew nothing about it), but what kind of crap is this public disclosure? That's pretty heavy-handed. The CC companies must be really freaking out over all the bad mortgage loans they and their subsidiaries made...so much so that they can't take any chances with the real golden goose (the credit card)? Just speculating, of course, but wow. That story is nuts.