If you are a credit card holder, you probably already know that on February 22, new rules governing these accounts goes into effect. Titled "The Credit Card Accountability, Responsibility and Disclosure Act" (CARD), this law is a consumer-protection piece of legislation meant to keep the more barbaric practices of the industry under control. It will bar issuers from raising rates retroactively, instituting limitless fees and giving fewer than 6 weeks notice of rate increases (already in effect). It also protects gift card holders from finding their entire gift amount used up by issuer fees before they get a chance to use it.
My husband and I generally do not have problems with our credit card issuers. So when he received his Barclay's credit card bill this month, we were surprised but not upset to see a $42 charge for being 2 days late with the payment. After all, we always pay the full amount each month, and on time; between the holiday and the due date of January 2, however, his payment supposedly didn't get to them until the 4th. Although the penalty seemed high, we were sure he could get it removed, since this was the first time that this had happened.
Wrong! When he called Barclay's, not only did they say they could do nothing about the charge, they were downright rude. My husband became livid as his eyes sought out the "new" interest rate on his account: 933.85% per annum. Almost 1000% interest? Was this a mistake? Oh, no. You know what the bank rep said? "That's not a monthly rate, sir. It's for the whole year." Well, thanks for explaining to us what "per annum" means, you nasty little person.
I suggested he call our senator, John Olver. He spoke with one of his aides, who said that the credit card companies are going "crazy" with charges on the eve of the reform bill taking effect. Apparently, this is legal. He said he would like a copy of our bill to send along to Washington, though, just in case. My husband also mentioned that once he said he wanted to cancel his account, he was put on hold for ten minutes, twice in a row. Once they decide they don't want to talk to you anymore, this is what they do.
We will follow through by sending the bill and a letter to Olver, and closing the account. I had a few laughs listening to my spouse berating the bank reps, asking them whether they thought this was good customer relations and demanding of them how they could sleep at night while engaging in practices more befitting a pirate. Of course, they don't care. Their job is to squeeze as much money out of the customer as possible, by any means necessary.
As my husband commented, it is easy to see how these bank CEOs find the money for their huge bonuses. This incident doesn't scratch the surface of sleazy business practices banks use to take advantage of consumers. By the way, isn't it nice to know that our tax dollars were used to bail out these guys? Gives you a warm and fuzzy feeling, doesn't it?
My husband and I generally do not have problems with our credit card issuers. So when he received his Barclay's credit card bill this month, we were surprised but not upset to see a $42 charge for being 2 days late with the payment. After all, we always pay the full amount each month, and on time; between the holiday and the due date of January 2, however, his payment supposedly didn't get to them until the 4th. Although the penalty seemed high, we were sure he could get it removed, since this was the first time that this had happened.
Wrong! When he called Barclay's, not only did they say they could do nothing about the charge, they were downright rude. My husband became livid as his eyes sought out the "new" interest rate on his account: 933.85% per annum. Almost 1000% interest? Was this a mistake? Oh, no. You know what the bank rep said? "That's not a monthly rate, sir. It's for the whole year." Well, thanks for explaining to us what "per annum" means, you nasty little person.
I suggested he call our senator, John Olver. He spoke with one of his aides, who said that the credit card companies are going "crazy" with charges on the eve of the reform bill taking effect. Apparently, this is legal. He said he would like a copy of our bill to send along to Washington, though, just in case. My husband also mentioned that once he said he wanted to cancel his account, he was put on hold for ten minutes, twice in a row. Once they decide they don't want to talk to you anymore, this is what they do.
We will follow through by sending the bill and a letter to Olver, and closing the account. I had a few laughs listening to my spouse berating the bank reps, asking them whether they thought this was good customer relations and demanding of them how they could sleep at night while engaging in practices more befitting a pirate. Of course, they don't care. Their job is to squeeze as much money out of the customer as possible, by any means necessary.
As my husband commented, it is easy to see how these bank CEOs find the money for their huge bonuses. This incident doesn't scratch the surface of sleazy business practices banks use to take advantage of consumers. By the way, isn't it nice to know that our tax dollars were used to bail out these guys? Gives you a warm and fuzzy feeling, doesn't it?
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