So Chase tried to screw me - it's total BS.

[OneTenthofOnePercent]

So my wife and I have a few cards between us, but keep them under control for the most part. A Chase card had about $2k on it, more than minimum payments were always on time, and it was one of those 0% cards. Given the recent economic turmoil, we decided to take our April tax return and pay off 3 cards - a Chase card being one of them. We did not want undue debt hanging over our heads and freeing up a few monthly obligations always helps.

Flash Forward about a mont & a half... I get a letter in the mail from Chase saying due to certain factors, they are cutting my card's limit to only a few hundred and my interest is going from 0% to 20% despite missing no payments and good credit standing. At first I figured no big deal because I was not planning to use that card anymore after I paid it off. But the more I tough about, the more it pissed me off.

What if I did have that balance and spent the tax return money on house renovations or different credit cards? Stiff fees, usury interest rates, filing complaints, hurt credit, not being able to come up with over $1000 out of thin air to stop the fees, etc... All of this for a very "good customer". Plus, once you're over it's an instantaneous overage fee - usually something ridiculous and no way to dodge it or transfer balance before the billing cycle ends. It was pure luck that we didn't have a balance on that card. And then I get to thinking about people who weren't as lucky as us to have no current balance.

It's bullshit that a CC company can, more or less, screw a customer (regardless of circumstance) on a whim because they're feeling greedy at the moment.
My advice: Pay off credit cards before buying crap you don't need. My wife and I dodged a huge bullet and I'd hate to see it happen to anyone.
We'll be paying off her credit cards ASAP - but she also has quite a few thousand (Wedding).

[PassingFair]

1. They only did it because you paid off your balance.

They're not getting their monthly
interest from you anymore so
*uck you!

I've had it happen to me as well.

[OneTenthofOnePercent]

3. So they would not lower your limit if you carried

a balance?
Also, isn't credit score have something to do with current credit limit?

[PassingFair]

9. I don't know how credit score is calculated...

but people are paying their cards off,
and the banks are still trying to
SQUEEZE ANYTHING they can from them.

Assholes did it to themselves when
they pushed the bankruptcy bill.

[MadHound]

2. My advice, cut up all your cards and go to a cash/debit card/check basis

First of all, complaining about something never solved the problem, you need to take concrete action. Second, by going without plastic your life is a lot less stressed, and you don't have to deal with the hassle of credit cards. Third, your finances will be better off.

I've been cardless all my life, my finances are in good shape, my credit score is great, and I don't have to deal with all the stress.

[OneTenthofOnePercent]

4. Absolutely, I have been doing that since April. MUCH easier. (n/t)

[panader0]

8. "Dem a loot, dem a shoot, dem a wail in Shantytown"

Love Desmond Decker. I've got that cut on the "Harder They Come" soundtrack.

[MadHound]

13. If you like that,

You need to check out this
<http://www.amazon.com/This-Reggae-Music-Golden-1960-1975/dp/B00064LOV4>

Fifty years worth of mento/ska/reggae, a great set of four discs.

[NNN0LHI]

5. Go to cash and then the interest rate they charge becomes moot

Thats what I did. Worked like a charm. I don't care if the bastards charge me 99% interest on my balances because I don't carry any balances.

Don

[Buzz Clik]

6. Cancel the card. Capital One jacked up our interest rate, and we dumped them instantly.

We take no shit from credit card companies. If they don't want out business, they won't get it.

We now have no credit cards with major banks. Our local bank provides us with a debit card that will act as a VISA card in a pinch.

Life is good.

[napi21]

7. Did you call them? I realize it probably wouldn't make any diff. & they

won't likely change their minds, but I'd be interested to see what excuse they give you for making those changes.

I can see why they wanted to eliminate the 0 interest part, but not the reduction in the limit.

My husband & I use a Chase card for everything, but pay it in full every month. It's a great bookkeeping tool for me at tax time. Ours is not a 9 interest, and the limit it fairly high IMO ($17,000), but I haven't received any letters from them.

[pipi_k]

10. Chase raised the interest rate on my card also

even though I've always paid in full and on time (actually within a day or two of receiving the bill, so it's not like I'm just barely getting the payment there before it's late).

Since my credit limit on that card is less than $1000 (I didn't want a higher limit) and I pay it in full each month, their little game isn't going to affect me much but yeah...it did piss me off. I check my bills (one other credit card) each month just to make sure they're not pulling any funny business without my knowledge.

If, in spite of being a good customer, they end up doing the same thing to me that they did to you (dropping my paltry limit) that will be the end of them. Right now my credit is good enough to be able to get a credit card with just about anyone without being subjected to this foolishness and greed.

Oh, and I understand the whole thing about only using cash or a debit card, but I don't feel fully comfortable using a debit card for certain things. Last year when some crooks got access to all kinds of credit card info, my card was one of them. If someone makes fraudulent charges to my credit card, I'm not out a whole lot of money initially like I would be if someone hacked into my debit card and I'd have to go through the huge inconvenience of having actual money stolen from my bank account and then try to get it back.



http://www.pirg.org/consumer/banks/debit/debitcards1.htm

[jjray7]

11. you are not alone

Check out the comments on this board--
http://www.medlawplus.com/classaction/chasecreditcardcomplaints.tpl

[K Gardner]

12. Chase sent me a letter yesterday, on a card with ZERO balance. Either accept rate increase or

cancel my acct, plus they added a $60/yr fee to keep the card.

Of course, I cancelled it, at which time they informed me they'd be reporting it to the "appropriate credit bureau".

I guess I can kiss my perfect FICO score goodbye.

[cliffordu]

14. Conversely, you could just get rid of the damned things altogether and

live completely within your means....

[OPERATIONMINDCRIME]

15. Pay Your Balance In Full Each Month And Nothing You Said Should Ever Be A Problem.

[RebelOne]

16. I will never, never again have another credit card.

I just had a Chapter 13 bankruptcy discharged. For 3 years, I have been able to manage just using my debit card or cash. Credit cards were what got me into a mess.