Credit Card Companies Raise Interest Rates

[Steve]

Here is the mixed message that the government sends. They and economists say that consumer spending drives the economy but also chide us for having too much debt and a low savings rate. If we save we can't spend.

[unit731]

Who do you really thinks is going to pay off all those sub-prime mortgages?

 

It's money lost. Vanished.

[Torneyboy]

Catch 22

[Central Scrutinizer]

It's nothing more than the big banks seeing another way to rape their customers legally. They tighten their standards now (once the shit has hit the fan rather then by being responsible lenders to begin with) for giving out credit, and stick it to their more fiscally sound clients to make up some of the difference they lose by tightening their lending standards. BofA is one of the worst when it comes to fees. They have fees for everything and the highest rates usually for said fees. I hate them and would never use them again after once doing so for a short period until I saw their monthly 'fees' on the statements and left for less voracious appetites at a smaller local bank.

[cavanami]

There is a class action suit against the credit card companies. I got a mailer that they filed legal action as a few years back, all the CC companies ganged up and started that 3% foreign transaction fee. The fee was all bogus as the "extra expense" was greatly overstated...so our good buddies, the USA lawyers filed the suit.

I looked it over and I signed up to get the minimum $25, as I did not use my card so much and did not incur much of the expense.

I searched around and found that a Capital One credit did not charge the 3% at all go figure...

[shygye]

I think you are a little confused. The class action is due to the CC companies hiding the fees in the exchange rate for a number of years. Since the fees were not itemized it ran afoul of consumer protection laws. That is why the CC companies now show the extra fees.