Hey everyone, I have a Providian/WAMU/Morgan Stanley credit card. I've had it for 14 years, so I don't want to lose that on my credit report. Here's the issue: 18 months ago I made one late payment. They raised my interest rate to 31%! I was told that after 6 months of on-time payments, that it would revert back to the 12% that it had previously been. I've had 18 months of on-time payments, written to them 3 times, and I keep getting denied the lower rate. My fico has improved almost 100 pts., and they tell me that I don't fit the 'criteria'. When I asked what the 'criteria' was, I was told that it is private information that they use to base their decisions. Any suggestions anyone??????? I just tried calling a supervisor last week, and I got the same story. This seems like stealing to me......I know that there are few regulatory laws for this...but ....jeez.... Help!
You're probably right, but it's the only current active credit I have. My mortgage is paid off, no car loan in the near future. Do you think it would be worth it to try and transfer to another card? Thanks for your input.
Sounds like you do not have much of a need for credit. Just get another card from another company and cut the WAMU card up. In a year or two they'll just close it anyway themselves, or maybe notice you aren't using it anymore and offer you the lower rate you want. Or, call them and tell them you wish to close the account, see if retention gives you what you want.
Leave it open. If it's all you have, you need the history. Even if you get a new card and transfer the balance, keep the old card and use it occasionally. Buy something every few months and pay it off, so you don't pay any interest. You're going to take a score hit for the new card. Don't trash it by closing an account that old.
With all respect to Hedwig, and his advice is correct in terms of maximizing credit score, the time has come to flush this FICO nonsense and get back to banks lending based on knowing their customers, not some math model everybody is trying to game. The banks reliance on FICO has caused them ruinous losses in credit cards, as we will see this year. When's the last time somebody did an employment verification for a credit card, for example? It's all completely insane.
You're right, it's Chase, not Morgan Stanley. Sorry for the mixup. I had just been reading an article about MS. Thanks for the great advice you guys. But to answer Catleg ~ yes, I need the credit, everyone does. Who knows when some stupid money sucking emergency will happen? I couldn't agree with you more, being a slave to a FICO is beyond stupid, BUT, I am not, personally going to be the one to wage the battle. I can't afford to lose such a long standing credit card. Yes, it stinks, but I was merely asking if anyone knew a better way to approach the company, or are there any legal ways to approach it, i.e., pertinent laws re: a scalpers interest rate? I so much appreciate your input with this!
I hear ya. Get a credit card from a real bank that does real banking. These monster credit card banks are dead men walking.
You can get a balance transfer but leave it open.Cash my be king but you still have to have credit.They may be dead men walking but there taking along time dying and a lot of tax money that can't be replaced.So the taxpayers shoukd hope cpr works!
That's what I suggested. Get something else for carrying a balance, but under no circumstances close the Chase card. You may get a balance transfer from Citi, BoA, or CapOne, depending on the rest of your report. It's worth a try. Any maybe once the balance is transferred away, Chase will lower the interest rate.
Who all did you try to get to lower the interest rate? I'd write to Mr. James (Jamie) Dimon who is the Chairman, President, and CEO. His address is 270 Park Ave., New York, NY 10017. Send it by certified mail return receipt. Write a good letter and keep your fingers crossed. Higher up the food chain is the best way to get attention. Can't hurt and you just might get what you want. You really don't want to close this account as it is giving you excellent aging. Good luck.
