Posted: 11/9/2009 2:09:57 PM EDT
| Just got home and received a letter from Citibank, they are raising my rate to 23.99% effective December 20th, I never carry a monthly balance on a credit card, they probably don't like me. Anyone else get a letter today? |
| I have not recieved one of these letters, but I have heard of this before. It's really not uncommon at all. Most of the time this is due to the Universal Default Provision. The issuer of the card has more than likely re-evaluated your credit position, and even though you pay them off every month, you may have had something else hit your credit report that they didn't like. It can be something as small as a late utlitiy bill, or something as large as missig your mortgage payment for a month. They can also make changes in the APR based on the amount of unused credit you have open. Lot's of things can contribute to this. I don't mess with credit cards anymore and this is one of the main reasons why. Play with matches and you'll eventually get burned. |
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Most CC companies are jacking up interest rates now, while they still can, since next February the Credit Card Reform Act takes effect.
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| Followup-Called Citibank today-lady said the 23.99% interest rate hike is a business decision, had nothing to do with my credit history. She told me not to worry, since my credit history shows balance paid in full every month. She said lots of people are getting the letters this week. |
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Quoted:
I actually got a similar thing. Raised APR to 20%s and started charging me an annual fee of $90.00 Had the card for 15 years, with a credit limit of 25K+ Never carry a balance. Called em right up an cancelled. Was this Citibank? I've read that some CC issuers, including BoA, have threatened to charge annual fees to deadbeats (folks who pay off their card in full every month). |
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Quoted:
Followup-Called Citibank today-lady said the 23.99% interest rate hike is a business decision, had nothing to do with my credit history. She told me not to worry, since my credit history shows balance paid in full every month. She said lots of people are getting the letters this week. I would cancel the card on principle.... |
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Quoted:
Quoted:
I actually got a similar thing. Raised APR to 20%s and started charging me an annual fee of $90.00 Had the card for 15 years, with a credit limit of 25K+ Never carry a balance. Called em right up an cancelled. Was this Citibank? I've read that some CC issuers, including BoA, have threatened to charge annual fees to deadbeats (folks who pay off their card in full every month). They can't even be satisfied with the 3% they take off every transaction. How many billions do they make each year off just that? |