AND if you have a problem with the rate, you can keep it the same, but your card will be cancelled !!!!!!!! Man, they have us by the *****, don't they !......... I can't cancel.......we need it for emergencies !!!!
2007-03-19 10:15:01 · 7 answers · asked by nemofish 4 in Business & Finance ➔ Credit
They usually don't raise the rate up that high unless you either paid late or went over your credit limit.
But, your option is to cancel the card and get a different one; or, call them and see if you can negotiate back to your old rate.
2007-03-19 10:26:36 · answer #1 · answered by Faye H 6 · 1⤊ 0⤋
Some credit cards have a 'universal' type thing where if you're late for ANY payments, car, rent, mortgage, another credit card, they can raise your interest rates. I know, that's screwed up. Even if you're late with THAT credit card once or twice, they can increase your interest rate to 32%.
But, unlike someone else who stated that you should call and yell, that's immature. You should call and speak to an Account Manager. They handle the interest rate stuff. I recently called for two of my credit cards, and had both interest rates lowered. I made my husband call, and they lowered his as well. It's not about yelling that lowers your interest rates, it's about knowing what you want, and putting your words in a way where your request is not negotiable. If you have a Visa, tell them you're going to cancel the card and go to a Mastercard. That worked for me.
2007-03-19 10:33:08 · answer #2 · answered by Cherry_Fire 3 · 0⤊ 0⤋
Why are they raising your rate? Do they have a good reason (ie: late payment, missed payment, etc.)?
Even if they have an excuse-- 32% is ridiculous! You may want to apply for a different credit card-- especially if you gave them a reason to raise your rate. Hopefully, a late payment (or other negative action) hasn't shown up on your credit report and you can get a better offer before then.
If not, I'm sure you can get a lower APR than 32%. Even credit cards designed for poor credit have lower APR's. You can start here if you need a new offer:
http://www.asapcreditcard.com
GOOD LUCK!
2007-03-19 14:42:36 · answer #3 · answered by Anonymous · 0⤊ 0⤋
If you carry a 0 balance and the card is TRULY an emergency card---- well then it shouldn't matter.
However if you were to use it for an emergency, and say the payment was $35, why aren't you putting that money into savings now? in a year you would have $400 "for emergencies". Eventually you'd hae a cash reserve for emergencies and you can cancel the card.
Debt should not be used for emergencies if at all avoidable-- becuase usually an emergency snowballs and putting yourself in debt only makes it worse.
2007-03-19 10:34:15 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Have you been late with a payment? How is your credit rating? The other answer below said to call and threaten to cancel. That actually does work. If it doesn't, open another credit card right away (you can do a balance transfer). Then after that CC is good to go, call back this one and cancel. Your credit score is "dinged" when you cancel, so make sure you get yourself another card first.
2007-03-19 10:28:35 · answer #5 · answered by Florida Gal 2 · 0⤊ 0⤋
Is there a chance you can get another card? Via your bank or credit union at a lower interest rate? And yes, this topic was on the news last week.
2007-03-19 10:21:34 · answer #6 · answered by Grace 5 · 1⤊ 0⤋
Call them up and scream into the phone! Seriously my husband did that and they cut our percentage rate in almost half! Threaten to cancel...yell be belligerent...I'm not joking it really worked for us
2007-03-19 10:23:30 · answer #7 · answered by GD-Fan 6 · 0⤊ 0⤋