F/U Credit Card Company!

[r5TPsooner]

Today was a first for this 38 year old dude...

The wife brought me the mail in from outside and inside was a letter from my credit card company (WaMu). In it, it said "CONGRATS! on managing your credit so well, enjoy your newly increased credit limit by $2500 and thanks for being a WaMu customer."

As I was reading and patting myself on the back for being a good customer, I see this down below my statement *** Your APR has been increased from 7.99 to 21.99!!

I damned near had a coronary! They gave me a credit increase and increased my F'in APR in the same letter. I have NEVER been late on a payment in the 1 year that I've been a customer and I pay the balance off monthly 90% of the time. But it's the principle of the situation in my mind!

I called them and they gave me a bunch of excuses but none were valid. Obviously I'm ****ed and I since I only carry one credit card, I decided not to close it today. However, I'm in the market for a new CC company.

BTW, I'm no Bruce, but my credit is extremely solid and we make a nice living by today's standards. As a matter of fact the only reason that I can see an increase is due to the economy.

Anyone in the biz know why this happened? Also, my FICO score has increased 11 points in the last year and we purchased a new car in January for the wife and a new house just over a year ago.

I'm puzzled as to why this has happened.

[olevetonahill]

If ya want a new Card , Go thru your Bank .

[batonrougesooner]

They are ****ed you are paying off your balance every month. Got to make money from you some how.

I agree, close it. F-them.

I go debit card on 99% of my purchases and just use the cc for traveling.

[Vaevictis]

The way I interpret that is that they don't like the profit margins associated with your account (being that you pay it off all the time), and they are indirectly inviting you to close it.

[mdklatt]

The way I interpret that is that they don't like the profit margins associated with your account (being that you pay it off all the time), and they are indirectly inviting you to close it.

My credit card company loses money on me with their cash rewards program, and they've never done anything like that to me. Or maybe they have; I have no idea what my interest rate is.

[olevetonahill]

Had a thot
If your Paying it Off every month what do you care what % rate they Charge ?
They are Making Money off the card, just not from you but the Merchants that you use it with .

[SoonerStormchaser]

Yah....I just finished paying one off that was 28.99%...they raised it from 12.99% cause missed one payment by FIVE MINUTES!!!

Frankly, I hope the gubment goes after these ****ers with a vengeance!

[soonerboomer93]

shoulda paid on time, i always pay early, atleast 1 week if possible

[r5TPsooner]

Had a thot
If your Paying it Off every month what do you care what % rate they Charge ?
They are Making Money off the card, just not from you but the Merchants that you use it with .


Like I said in my original post it's the principle of the thing. I guess that I'm just too old fashioned in my beliefs that if you pay your bills and taxes on time that financial rewards will come your way no matter how small.

It just struck me as odd that they would give me a decent increase on my card and at the same time bend me over with no KY and raise my APR like that. Why not just lower my credit limit if they wanted to lose me as a customer?

I really don't have a problem with using my debit card but my understanding with it is, that if someone gets a hold of it and uses it, your screwed for everything by the bank unlike a major credit card company. I could be wrong though, but I think it's correct

Maybe Mr. Rich could enlighten us. Also, I plan on calling my Credit Union and bank and see about going with them.

The whole situation just struck me as very odd. However, these are odd times financially I guess.

[OUHOMER]

I think we all better get read for it. I bet they do something like this to every body in the next 75 days. Congress needs to do more.

[Frozen Sooner]

I really don't have a problem with using my debit card but my understanding with it is, that if someone gets a hold of it and uses it, your screwed for everything by the bank unlike a major credit card company. I could be wrong though, but I think it's correct

Maybe Mr. Rich could enlighten us.

Mr. Rich would be delighted to inform you that this is not the case.

Under Regulation E, if your card is reported lost or stolen within 48 hours of discovery of loss, the maximum you can be held liable for is $50.

Moreover, VISA-branded debit cards (most of them) carry the same fraud guarantees that all VISA-branded products do. If you didn't do it, you get your money back.

And yeah, go talk to your local credit union. Our card has a 10.5% fixed rate, no annual fee if you have an active checking account, and a rewards program.

Also, one nice thing about having a card with a credit union: under NCUA Regulation AA, no loan granted by a credit union (including a credit card) can ever have an APR above 18%. Banks are not bound by this regulation. Bastards. I want to go kick WaMu in their junk for doing this crap.

A bunch of a-holes are going to ruin it for everyone.

[olevetonahill]

They was hoping you Be so Happy with the Increase that you wouldnt notice the Interest rate thing .

[Chuck Bao]

I think most of them are a scam, excluding Mike's credit union, of course.

They charge exorbinant rates and get around state usuary laws by strange loopholes, apparently being based out of Delaware. I think we already discussed this here:

http://www.soonerfans.com/forums/showthread.php?t=110548&page=4

The best thing is to know what rate they are charging and just avoid them, if you can.

[Mixer!]

*Makes note to cancel his Wamu card ASAPDQ.*

[bluedogok]

And yeah, go talk to your local credit union. Our card has a 10.5% fixed rate, no annual fee if you have an active checking account, and a rewards program.

Also, one nice thing about having a card with a credit union: under NCUA Regulation AA, no loan granted by a credit union (including a credit card) can ever have an APR above 18%. Banks are not bound by this regulation. Bastards. I want to go kick WaMu in their junk for doing this crap.
We have two cards but don't use them much but we have received offers from the credit union that my wife's car is financed at and one that we had financed a new HVAC system and energy saving upgrades for 3 years/no interest through an Austin Energy program. Both of them were around 10-12% fixed and this is after BoA (who bought out Fleet getting our account) bumped the rates up even though we don't use it much. I have read elsewhere that most are really bumping up rates and fees to make up for their own screw-ups in the mortgage market. I think credit unions are the way to go, the "banks" have mostly been whittled down to a few monsters and a few local/regional banks in most markets which has really made the financial systems worse and it seems less responsible, it seems like size can be a detriment.

[JohnnyMack]

A bunch of a-holes are going to ruin it for everyone.

Sounds like the SO to me.

[texas bandman]

I do business with credit unions, since they are not like banks who are out to make as much money as possible. If you are a member of a credit union you are a shareholder and share the profits through your dividends. I was a member of the board of a small credit union($14,000,000 in assets) in the last town where I taught and I know that most of our decisions were based on what was most beneficial to the shareholder while keeping the credit union on solid financial footing. When I moved, I made sure that I found a smaller credit union that takes care of their shareholders. I don't know if I'll ever do business with a bank again. That being said we do carry a Discover Card that we charge almost everything we buy during the month. We pay it off each month and they have never raised our rates andwe get cash back that goes into our sons college account (every little bit helps). We also carry our CU debit card in case the store doesn't take Discover. You can do better, go out and find another card with better rates!

[Frozen Sooner]

I do business with credit unions, since they are not like banks who are out to make as much money as possible. If you are a member of a credit union you are a shareholder and share the profits through your dividends. I was a member of the board of a small credit union($14,000,000 in assets) in the last town where I taught and I know that most of our decisions were based on what was most beneficial to the shareholder while keeping the credit union on solid financial footing. When I moved, I made sure that I found a smaller credit union that takes care of their shareholders. I don't know if I'll ever do business with a bank again. That being said we do carry a Discover Card that we charge almost everything we buy during the month. We pay it off each month and they have never raised our rates andwe get cash back that goes into our sons college account (every little bit helps). We also carry our CU debit card in case the store doesn't take Discover. You can do better, go out and find another card with better rates!

Hey, even we bigger credit unions try to keep the members in mind! We actually have a metric for "value returned to members" that we have to hit every year. Seems to be working out well-our asset size is $1 billion+. :D