gm apr to 23.9- no reason!!!! help!

Discussion in 'Credit Talk' started by ginger2, Aug 8, 2003.

  1. ginger2

    ginger2 Well-Known Member

    I just get a letter stating my terms are changing to 23.9??? What? The reason, too many recent caSH transactions. I haven't had any?? The letter is dated aug 1 and on the back staTES its jacked to 23.9 on Aug 1. Don't they have to give me notice??? The letter states that my billing cycle ending Oct 31 prompted this. 1000 limit and balance is 198??? Called and asked for legal department. She got nervous. I said their is no way you can jack my rate for nNO reason and jack it the same day you write the letter. Don't I get time to payoff before? 198 dollars, yeah, will never use this card again!!! Any advice please!

    GEORGE Well-Known Member

  3. iambroke

    iambroke Well-Known Member

    What does your credit card disclosure statement say?

    Normally they can pull your credit and raise it if they want. I had Nextcard do that to me awhile back. Card was paid off too! I just closed it out and took my business elsewhere.
  4. breeze

    breeze Well-Known Member

    They do it for one reason - they want your money. I would pay it off, and either close the card or charge an item once ina while to keep the card active - depending on other issues - need for good tradelines, length of time I'd have the card, balance to limit ratio, etc.
  5. leo728

    leo728 Well-Known Member

    I just had this happen to my bankone account. I just paid it off.
  6. breeze

    breeze Well-Known Member

    The GE card is HH, they and bank one both have a bad rep for this sort of thing. They can do it, so they do it, hoping you can't pay it off. Always have someplace to go. ;)

    GEORGE Well-Known Member

  8. rooms222

    rooms222 Member

    Household is especially bad because they do not give you the ability to close the account and keep the lower rate. Citi, Chase, Bank One all generally give you a couple of weeks notice to write in decline and cut up the card if it is a repricing (i.e. your are considered higher risk) rather than a default(you were late on payments).,,,,,try pfb, state attorney general, bbb etc. make a lot of noise .....write them directly as well....
  9. Hedwig

    Hedwig Well-Known Member

    Make sure to copy your Congressman as well. In fact, write a separate letter to your Congressman (and Senators) complaining about it, and asking them to investigate. Copy the letter to everyone on the House and Senate Banking Committees (if there are any other committees dealing with this, someone let us know. Copy all of them as well. Congress needs to be aware of these actions.

    When you write your letter to your Congressman, make sure you cc Household as well. Most businesses HATE to have Congressional inquiries. They go to the highest level of the company. When they have to answer a Congressional inquiry, they know that someone other than customers (and those of us on Credit Net) are aware of what they are doing.
  10. GEORGE

    GEORGE Well-Known Member

    When I had HOUSEHOLD they let me close it at the LOWER rate (prime -0.25% I think)...then they sold it to FLEET who "JACKED" it to their DEFAULT RATE because it was closed...I NEVER DID GET 100% OF MY EXCESSIVE INTEREST REFUNDED...I LITERALLY CALLED 50 TIMES AND WROTE 10 TIMES!!!
  11. cadman

    cadman Well-Known Member

    Yes, GM did the same thing to me last year. So I closed and paid off the account. I just got the same notice from a Household account that I have. They did send me a letter stating something like, "In order to show profitability to our shareholders, we need to raise your rate to 23.99%" or some B.S. like that. That one will also be closed before the end of the month! Nothing like losing all the "profit" that they might ever make from me. I will never open another Household account.


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