Originally posted by: FelixDeKat
Originally posted by: jmebonner
I'm currently 100% funded, down from 14% to 11.5% I'm hoping to see it finish around 11%.
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Similar to what dmcowen said, I had Chase up my rate to 29.99% from 11% out of the blue. No late payment, no nothing. No explanation other than, "factors on your credit report indicate a higher risk of default" WHAT???? First, I pulled the report, everything's fine. I've not been late on ANYTHING in 9 years. Second, someone's at risk of not paying, so you jack their rate by 18%??? Yeah, great logic. They couldn't pay before, but now that you've upped the rate to a usury fee, they'll pay. (I guess it kinda worked for me, I'm paying it ofF)
My prosper loan at 11ish % will pay chase. I believe I'll leave a $20.00 balance on the card and use it to fill my motorcycle now and then. I'll pay it before interest accrues, that way they can keep sending the bills and making no profit off me.
[/rant]
Im sorry but Chase has been on my sh*t list since 2005 for the same nonsense. I had two old accounts that I was paying off slowly because along time ago I locked in some favorable rates at the highest possilbe balance. One has been closed since 2002. The rate hasnt gone up at all despite 17 rate hikes by the Fed during that time period. It was a Wachovia account, then it was acquired by Bank One, now Chase owns it.
Those evil bastards decided to bump it up a quarter point, despite the fact that the previous two lenders left the rate alone for three years!
Thats not all - I had another account with First USA that was changed to Bank One, then acquired by Chase. This was an active account with a relatively decent rate. I had a "balance transfer" balance and also a purchase balance. Ive had the card since 1993 and they always applied payments to interest with the rest going to principal, which was treated as one combined balance.
The comes Chase...not only do those snakes double the interest rate, they change the card to a dual balance. What this means is that before one balance gets paid down you have to payoff the higher rate balance first. In the meantime, the interest calculated on the lower rates balance
is added back into it in the form of negative amortization. In other words, it grows each month! In my case to the tune of $40 per month on top of all other interest calculated for an effective interest rate of nearly 35%!!!!!!!!!!!. I work for a bank and knew they were trying to pull a fast one. They claimed to have notified me, which was bullsh*t, because I know what dual balance accounts are and would have closed the damn thing. I called and argued for about six months and even asked for arbitration (being that you cant sue credit card cos anymore), in the meantime they sat their happy asses back and just lapped up the money. All this was to no avail. Bastards!
I allocated all resources, curtailed all spending, etc, and sent every extra dollar to those cards. I then transferred everything else away from them and paid it all off. I will never, ever, ever do business with Chase again. Ever. And this story will be told to discourage people from doing business with Chase. They are pure evil and should be avoided at all costs.