Why Capital One is bastardly...
A Sign that the economy is still in the shitter:
I received a letter from Capital One today telling me that they're changing the APR on my Platinum card. This is a low balance credit card that I keep in good standing and have almost no balance on. My 11.99% fixed interest rate will change to 17.49% variable interest rate as of February 1, 2011. I called to ask..."um...wtf mate?" and they informed me that this is for the financial health of the company and has nothing to do with my credit behavior. I can choose to decline the terms and pay off the card in full to close the account if I wish. Which I believe I will. So to solve our economic crisis and lighten the American debt load, we will now make it harder for you to pay off your debt. Brilliant thinking there.
I fully anticipate other credit card companies following suit. This worries me because I already have a high APR card with a high balance (thank you foolish spending habits in Florida) that I'm slowly paying off. If they change my APR I won't be able to make a dent in it. I think I may take out a larger school loan next year to pay off the card. I'd rather have the 6% school loan than the 24% revolving debt that American Express is sticking me with (bastards). Of course, that school debt has to get paid off at some point too. Pleh.
And this, my friends, is why responsible credit behavior is a must. I'm going to be paying for my idiot mistakes for the next five years or more.
I received a letter from Capital One today telling me that they're changing the APR on my Platinum card. This is a low balance credit card that I keep in good standing and have almost no balance on. My 11.99% fixed interest rate will change to 17.49% variable interest rate as of February 1, 2011. I called to ask..."um...wtf mate?" and they informed me that this is for the financial health of the company and has nothing to do with my credit behavior. I can choose to decline the terms and pay off the card in full to close the account if I wish. Which I believe I will. So to solve our economic crisis and lighten the American debt load, we will now make it harder for you to pay off your debt. Brilliant thinking there.
I fully anticipate other credit card companies following suit. This worries me because I already have a high APR card with a high balance (thank you foolish spending habits in Florida) that I'm slowly paying off. If they change my APR I won't be able to make a dent in it. I think I may take out a larger school loan next year to pay off the card. I'd rather have the 6% school loan than the 24% revolving debt that American Express is sticking me with (bastards). Of course, that school debt has to get paid off at some point too. Pleh.
And this, my friends, is why responsible credit behavior is a must. I'm going to be paying for my idiot mistakes for the next five years or more.