I don’t even like the work “rate-jacked” but that is the buzz word right now in the credit world. If you have not already figured it out, most credit card companies have increased your cc rate significantly. The reason you may not know it is how they notify you. You would have received a little pocket size brochure with #4 font that is 7 or 8 pages of text. Well in that small text was the fact that your rate is going way up in the next 45 days.
The new Credit Card Act signed in June 09 by the president gave consumers several new rights but in the long run the cc companies decided to rate-jack everyone at the same time! According to one source i read, David Weliver of MoneyUnder 30, there is not much you can do. You can opt out of the new rate and keep the lower rate you HAD but you can’t use the card any longer. What is upsetting is that the rate was jacked up on low risk consumers with high credit scores and excellent pay history. Myself being one of those!
It’s just another GREAT REASON to listen to Dave Ramsey and pay off all those credit cards and stop being bullied by the cc companies. We truly are servant to the lender in the credit world! I am a huge proponent of Dave Ramsey and the late Larry Burket. I have been through counselor training with Crown Financial and a teacher of Financial Peace University and i am further convinced they are right on saying CUT THE CARDS UP and pay cash.
I have been with Chase Bank since 1999 and HAD a Visa with them, checking, and savings. My savings pays me .01% and the Visa just went to 19.49%. It didn’t take me long to figure out i was being ripped off. Things will be changing for me as i search new financial avenues.
Here is my “Financial Tip” of the day! Take a good hard look at all your money accounts; MMA, Savings, checking, CD’s, wherever you have your assets. Begin researching other institutions that can offer you more return. Read, blog, talk to professionals, friends, and find the best route to take. Forget loyalty to a bank just because you like the friendly teller or think after 1o years of being with them you will get anything special.
Do your homework and be a better money manager, for your sake!
Links i liked: credit.com; creditbloggers.com, daveramsey.com,
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