I received a notice from the Advanta credit card company. The company that often advertises in FH and JLC. It said they are raising my interest rate from 7.99 percent to 24.99 percent. I emailed customer service and said no $#@%ing way. I want the previous rate. My credit is excellent and I’ve never made a late payment on anything. I have been keeping a balance, which I had never done before, because 7.99% is cheaper than my line of credit at the bank. Other than that my credit is sterling.
They responded, “Dear Mr. Bennett,
Thank you for contacting us about the terms of your Advanta account.
Our assessment is based on a combination of factors that includes your Advanta payment and card usage history as well as information we receive from credit bureaus about your personal credit and your business”s credit. Our assessment indicated an increased risk of loss in your case. There is normally not one specific reason as we look at multiple factors when making the determination to change rates.”
Fearing the worst, I checked my credit thinking my identity had been stolen and my credit tanked. My credit score was 849. 849!!! I called Advanta and spoke to Erin, a supervisor. I said there must be some mistake. She said no I am a credit risk so they raised my rate and their decision was based on a number of factors. I asked what they were as I was concerned that I had to correct some errant information. She stated the reasons they upped my rate, “could not be disclosed because the information is proprietary in nature.” I said I have a right to know. She couldn’t tell me.
I told Erin, I think Advanta has the problem not me. Most credit card companies aren’t doing too well and they raised my rates based on their need for money, and not my credit history. She didn’t exactly disagree with me.
I opened another card today and transferred the balance with no fee and 0% interest for 12 months. I will become a deadbeat in Advanta’s eyes and use the card sparingly and pay off the balance in full each month. They will never get another penny from me.
Please, please do not get an Advanta card. They will lure you in with a low interest rate and then up the rate when they see fit for no reason other than they need the money. They also lure you in with 5% cash back, but do not tell you on the initial application that it is only for the first $1000.00 or maybe even $5000.00 in purchases. Then after that they give 1% cash back.
This is a horrible way to do business. Please avoid them. Do a search on top rated cards if you really need a credit card.
Constructing in metric…
every inch of the way.
Replies
Good for you fro transferring it. Got a link to the card you transferred to. I need another 0% no fee offer.
It is a Capitol One card. Do a search on "No balance transfer fee" and you will find it.Constructing in metric...
every inch of the way.
HH
My daughter received her new Cap 1 credit they said to call & activate it as there was a security breach. Well when she called she asked that her ex husband be taken off they said hold on a minute . Then came back on line & told her they cancelled the card and she could apply for a new one & would get it in 45 days and that she would lose all her fly miles (135,000). She told the woman in India that's not what she asked the women to do The women told her told her it dosen't matter if you ask to have someone taken off you lose it all & the card gets cancelled and you reapply
After numerous phone calls moving up the food chain she gave up talking to the help long story short she got all the Officers of the company names each one received a certified letter (let's just say content of which would involve a lawyer and the media) they had to sign for & she got the receipts
Let me just shorten this story a happy ending she got a phone call from one of them and all is settled a new card issued immediatelyand her fly miles restored
Sorry to be long winded but all these credit card companies have these crazy rules most of which we as good consumers and on time bill payers never see when we sign up or need the Hubbel telescope to read the type is so small
in this case David beat Goliath again
ZeeyaView Image
She said no I am a credit risk so they raised my rate.........
Ya gotta wonder how they figure doing that reduces thier risk. Like that will make it easier for you to make the min payment.
Maybe the same people running the forum here?
"Maybe the same people running the forum here?"I stay out of the politics, but maybe I just jumped in the deep end. I am just sick and tired of the little guy gettin' screw#d. Y'all got my back on this one? It's me against the MAN!!!Constructing in metric...
every inch of the way.
I'm worried.
I have an Amex at about 10 I believe, I pay it off each month and get cash back between 1 and 3 percent.
They want me to "upgrade" to a Platinum for a 125$ fee each year, but they will waive it for the first year...........
I just want to keep it the way it is.
I've noticed in the last month that a couple of the companies we deal with are doing stuff they never did before.
They are hurting and instead of looking at the way they are doing business and cutting back they just look to the customer for more $$$$.
It doesn't surprise me one bit. I never liked any of them anyway.
Insurance companies, bank companies, etc, etc, they're all the same.
Money grubbing, beady eyed, tight fisted, .....&%*#@
Edited 12/2/2008 10:16 pm ET by popawheelie
They're taken their plays from the Mortgage and Car Industry as well as the Feds. Seems they can't run a business so they have to rape the public. Then they wonder why no one trusts them or want to do business. Don't forget the insurance industry....Just thought I would add my 2 cents ...
ALL,
At Sears, the Sears card is handled by Citibank.
When we sign someone up, we are to disclose what their rate "might" be.I don't even remember the 3 rates, but start at around 16 up to 22 or so.The customer doesn't know his rate until he signs up. My disclosure to the customer is that all of the fine print on the 2-3 pages, is all in favor of the credit card company. Most laugh and admit they know that.We all should know that if we have one card that we are late on, all companies receive the info and therefore can raise the rates you pay with them.In Texas, Allstate ins., and I assume all others can also charge more for homeowner ins. based on credit score.Remember also, that since the politicians crawled in bed with the credit card companies a couple of years ago, you can't escape credit card debt with bankruptcy.Ya can't lose for winnin'Pete
No different than searching for subcontractors these days, there are too many people looking for your business to have to put up with B**LC**P like this. It's good that you can stick it to them, I'm sure there are many that they did this to that aren't as fortunate as you.
Citibank did a similar thing to me with no explanation as to why. The only difference was that they would change the terms when the card renewed in February. When I asked to speak to a supervisor, I was told that they don't talk to people that want to argue their rate. Regardless of my credit score or history (1st card I had outta high school) the rate was going up to 18.9. I told them that they would be losing a paying customer, which I'm sure in the current economy is something they would want to retain, but that didn't make a difference. In February, I will shop new cards to find someone who wants to earn my business
Edited 12/2/2008 9:19 pm ET by MikeRyan
Glad to see you could get away from them. They are looking for money!
I suggest you close the account or at least never use it as they get a piece of the action with every sale!
These rates are legal loan sharking!!!! 25% get real!
I had the same issue with Advanta; 0% for transfers - that held for 6 months. Then the fun started; it went to 7.9, then 16.4, up to 24.9 and then BINGO! 34.9...all within 7 months. No late payments, no missed payments, nuthin'.
Called and complained, they offered 24.9% as "the best we can do". I paid it off and canceled the card the next day.
-Norm
Legal loan sharking.
Advanta is the worst.
Write to your congressman.
I read a few years ago, if you cancel your credit card it can damage your FICO score. I have one charge card "Choice Visa," not happy with them. I don't use it except once a year, that way I'm still using it - for their records. And, yes, I pay my credit card bills on time and in full.
That's true, best to pay it off and leave it open.
That is not correct. Do more research.
Russell
I have done my research. Closing the account, especially if it is a card with a large limit and is one of the few card you own will negatively effect your score in that it increases your utilization ratios.
here are just a few links that back up my assertion. It almost never improves your score to close a credit account, and usually will affect it negatively. I would be happy to see your research to the contrary.
http://answers.yahoo.com/question/index?qid=20080621111911AAhXcbk
http://www.bankrate.com/brm/news/cc/20080328_close_credit_card_FICO_score_a2.asp
http://credit.about.com/od/creditreportscoring/qt/closecardscore.htm
http://cashmoneylife.com/2008/06/17/think-twice-before-cancelling-credit-cards/
http://www.myfico.com/crediteducation/Questions/Credit-Cards-And-Score.aspx
How about asking Fair Issac as they are the ones behind the score.
Be my guest. My credit experience and research has all supported what I said. You are welcome to do your own research as well.
Well here is what I have herard from a fromer employee of them.
(these are the people behind the credit scores)
That used to be true, you did not want to close accounts. Not true anymore, if you keep a reasonable balence, 15% is considered reasonable, ratio of debt to credit lines.
Another thing to remember is that minor differences in point scores from month to month is not abnormal and would normally not affect you one way or the other.
The last link I gave was from a division of fair isaac. Beleive it if you want, or pass on it like russell. I will believe them over "what I heard from a former employer of them".
I checked your info out.
Looks to me to be all propaganda from credit card companies.
Or sites with sponsorship from credit card companies.
Just the way I see it.
Sorry.
Russell
Pretty obvious your mind is made up. The last link in there was from my fico, a division of fair isaac, the originator of the scoring system, if you don't like their answers, you won't like anyones. Care to provide your research now.
Edited 12/3/2008 8:43 pm ET by TomW
My research.
Father 45 years as VP of bank
Wife 31 years bank employment.
I just know what I know.
My fico score? shooting for 0
Russell
Well, I guess you showed me.
I'll stand by my statements til you can come up with something better than that.
Of course you don't seem interested in showing where my research is wrong, or where anyone who chooses to beleive you can find info that backs yours up.
Edited 12/3/2008 9:21 pm ET by TomW
You believe what you believe.
And I will believe what I believe.
It's all good.
Russell
That's all well and good, but you said I didn't do my research and what I said was wrong. I have done the research and backed it my statements with several sources. I'm simply asking you to do the same, which you are unwilling to do.
Hoping to end this negative discussion.
Preface to my note: I am a widow of 1 1/2 years. In June "08 I bought a new car. I/we never carried a balance on any of my/our credit cards or cancelled one. When I asked the car manager "What is my FICO score?" He said over 800. I smiled and he commented that I smiled. I was not surprised.
Hey guys, stop yelling and think about your wife when you are no longer on this earth and she is left with your bills.
That is my goal. My score is always in that range by practicing what I have discussed. I'm simply asking that if there is info contrary to everything I have found on the subject, thatn it be shown.
Soryy if you found my responses negative, that's certainly not my intention.
If someone wants to flat out tell me I'm wrong when I have info to back it up, I expect at least a reasonable discussion of why those sources are wrong, and where I can find the correct information, not just for me but for anyone else looking for that info.
I only buy what I can pay for in cash, mortgage excepted and I don't carry card balances unless they benefit me. I don't close cards when I no longer use them. That happens to be a huge list of cards, and a very large sum of available credit lines.
Don't forget that your score can also affect things other than getting a loan such as insurance rates, and whether or not you are approved for a home rental.
TomW,
Samething happened to me with them, paid balence off and told them they were wrong for doing this.
They told me sorry but we can't tell you, I said I don't believe in keeping secrets when it comes to my persoal information.
Long story short, I cut the card up into little small pieces and taped on a card and sent it back to them. Also over paid them by $5 so they would have to send me a check.
Have one credit card for emergencies and got rid of the rest.
GaryS
I don't doubt that advanta is a horiible company to deal with. I'm just saying that closing unused accounts can negatively affect your score, while leaving them open and not using them can improve it.
Too many people get used by the credit card company's. It is possible to use them to your advantage and they can be valuable tools for purchasing, even if their rates are exhorbitant. I have plenty of cards with 15-20% rates, that doesn't mean I have to pay those rates. I don't pay credit card interest, period.
TomW,
Last time a checked,( which was 2 minutes ago) my credit score was 890. I talked to my banker about what Advanta did and this is what he told me.
They didn't even use my credit score, all they did is look at my profession. If your a builder/contractor like myself you are going to be looked at alot harder by cardit card companies and banks.
My personal wealth is to the point I don't need the hassel from them. I get tired of $8 an hour people telling me that there going fool with my credit rating and there is nothing I can do about it.
Sorry for the rant.
GaryS
I don't doubt that your score is 890, but it's not your FICO score since the maximum FICO score possible is 850. Maybe your 890 score was from experian which uses a scale called VantageScale which has a maximum score of 990.
Negative discussion ended.
Sorry.
Russell
Thank you. I'm glad the conversation turned more to educating and conversation, then complaining.
You guys are great. Where else on the web would we have had an open discussion about credit cards? Good Stuff!
>> if you cancel your credit card it can damage your FICO score.<<
True enough.
I get my credit score every month as a service with my commercial checking account at a local bank.
Seemingly anything you do financially will change your score - open accounts, close accounts, pay off loans, take out a loan, etc.......
The most humorous one which appears on my credit score criteria is the balance for a credit card which I have with the same bank which issues this monthly score sheet.
I use the card heavily, but pay it in full, on the due date.
I purchase nearly 100% of my materials on this card - so if I am having an "expensive month" buying hardwood trim, the apparent balance goes up, credit score goes down. If a "cheap month" buying drywall and mud, balance goes down, score goes up.
I used to get upset about this rise and fall. I called the bank about it and asked why the report did not show that the large or small balance was paid in full monthly -- they told me there was no mechanism in the program to reflect that. I told them there should be --- and quit worrying about it.
Jim
Never underestimate the value of a sharp pencil or good light.
I had the same experience with Advanta. I took the card offer becuase I thought I could get over on the 5% cash back on materials purchases at Home improvement centers. Charged all my materials purchases for my small home repair business, paid off in full at the end of the month, and got 5% cash back.
Seemed like a deal I couldn't pass up. Of course, over time I did build up a bit of a balance; always a sucker for a good deal on a new tool!:-)
Same story for me, credit score in the high 700's, never missed a payment. I think they just decided I fall into the category of customers that they weren't making much of a return on, so they decided to weed folks like me out or make something on us one way or another. Needless to say, I canceled the card.
The problem is, the notice of change is full of fine print and it's the kind of thing a lot of people may not pay full attention to until the interest change has taken effect. My understanding is that it affects new purchases after a certain date, not the old balance. I've learned to pay close attention to any notice that shows up from a credit card company!
My advice would be to get out from under ALL credit card debt as soon as possible........it is only going to get worse.
Tony Soprano got tired of TV and moved into the banking industry.....
same guy.....playing the old "move around for a better percentage" shuffle...
Get smart and bail out.......
I just looked at my Advanta statement and they pulled the same BS on me too!High credit score, rarely carry a balance and I don't think I was ever late. WTF?!Gonna make next month the last with Advanta! What a bunch of thieves.
Guys you can now canncel those CC without changinging score or only minimumly. I have canceled 2 in the last 3 mnts, cost me 5 points in score.
Just checked my advanta. I signed on for the 15 months at 0%. Ran through that, then transferred it to a different 0% offer, and the advanta has been at 7.99% ever since. They have never made a dime from me except their transaction fees, which the merchants are paying, not me.I just use it to keep business expenses on their own card.Don't carry a balance, and it doesn't matter what the rate is.Steve
Edited 12/3/2008 2:57 pm by mmoogie
About a month ago, my identity was stolen (at least the information that allowed someone to use my Visa card. The card, itself, never left my wallet) and that somebody racked up $2,000 on my card. Whoever it was had a nice vacation in Spain and the south of France but, unfortunately I wasn't there, only my Visa card. Anyway, I didn't have to pay for the fraudulent charges but when the new card arrived I was told the interest rate had gone from 4% to 28%. Talk about blaming the victim! Needless to say, I'll be using a different credit card in the future.
ChipTam
You did what they wanted...
they used your credit score and transferred the debt to another bank.
They need capital.
A La Carte Government funding... the real democracy.
>>You did what they wanted...
they used your credit score and transferred the debt to another bank.
They need capital.
That is very astute. I think you're right.
jumpimg in at the middle of thread, so may be covered.when they post your payment is also a game, they can take up to ten days after they have your check to post it.i've been using on-line through the bank for paying. lots of electronic payments made so payment usually shows on the paydate specified. some paper checks are sent so you have to watch, but the cc payments show up on the date i specify, so far
bobl Volo, non valeo
Baloney detecter WFR
"But when you're a kibbutzer and have no responsibility to decide the facts and apply the law, you can reach any conclusion you want because it doesn't matter." SHG
"You did what they wanted...they used your credit score and transferred the debt to another bank.They need capital."Could be, but I see it a little differently. I had a $6,000.00 balance on the card. The interest rate was 7.99 percent, relatively cheap money. It was cheaper than my line of credit at the bank. I had some cash flow issues doing major repairs on some foreclosures. I wasn't going to get a cent until the closing a month out. I factored the interest into the contracted price so I was getting it back.Then Advanta upped the rate to 24.99 percent. My question is why would Advanta want the six K instead of interest on six K at 24.99 percent. Where else could they get that kind of return on their money. I think they think most people are in a bind and won't dump the card. It really is sad that the government allows people to be treated this way. I thought the government was supposed to protect us.Constructing in metric...
every inch of the way.
I saw the discussions on JLC as well as ripoffreport.com. Wish I'd seen 'em 2 weeks ago b/4 my new Advanta card showed up.
Mine offers 90-day no interest, no fees. That works for me since I almost never carry a bal. past 60.
Definitely not a long-term bal. carrying card.
The best reward for a job well done is the opportunity to do another.
I just read ripoffreport.com. WOW, this is a seriously out of control, MAJOR, lowlife scum company. Thanks for the link to them.I just watched The Crimson Permanent Assurance on youtube. I needed a laugh.youtube.com/watch?v=KX61PUZ3xkIIt's time to raise the sails and drive these SOBs to h#ll. ;-/In all seriousness I am asking all breaktimers to boycott Advanta. They will just scr#w you anyway so don't open a card and if you do have a card transfer the balance to another one.I am not sure if FH carries Advanta ads in it. If they do the editors need to read ripoffreport.com. I don't think they want to be associated with such a company. This is bad, really bad!!!Constructing in metric...
every inch of the way.
I just had a Chase card closed. They said I hadn't used it in 24 months, so they closed the account. Not that if I don't use it in"X" days the account will be closed... but 'we closed it 10 days ago because you haven't used it in over 24 months'.
Kind of annoying to me because I've had that card since the late 80's and it had a limit of $20k (largest credit card limit I had). When I called them about it, their solution was that I re-apply. I told them 'no thanks'.
jt8
The creative individual has the capacity to free himself from the web of social pressures in which the rest of us are caught. He is capable of questioning the assumptions that the rest of us accept. -- John Gardner
What's the big deal, folks? You signed their agreement, they can do what they want. You should NEVER EVER EVER pay one cent of credit card interest. Just apply for a new credit card with 0%, no or low fee balance transfer fee and do that. I haven't had a balance on any credit card that charges interest in over 4 years. And I carry LOTS of balance. Heck, in '06, I applied for 24 cards and balance transfered all of 'em to the max into my HELOC and made something like $4000 in interest, just by putting the money in a 5% APR online savings account.Simmer down and get back to taking advantage of the system.
So if you can't beat 'em, you join 'em? I don't play that way if I have a choice. I might not be as wealthy because of it but I make my money with my hands.
I'm not saying it is wrong of you. I just have never felt right doing it, so I don't.
Just recently we have been taken advantage of by Liberty Mutual out of TX and Sprint.
And our Insurance co ( American Family ) upped our rates for no reason I can think of.
And we little to no recourse because they own the politicians. It makes me sick.
American corporations own this country. Period. If you think they don't, you're delusional.
And none of these companies lifted a hammer, shovel, or did any other honest work to make their money. They just talk and push paper around. And fudge everything their way.
When a CC company offers you free money for a year in the hopes that you miss a payment so they can blast you with 25-35% interest, why would you NOT take it? You sign their agreement, you play by their rules, and you make money. I do.Anyone paying CC interest is a chump. 0% Balance Transfer. Use it.
I didn't lift a hammer or a shovel to make the $4,000 or so I made back in '06 with my 0% CC arbitrage scheme. Most fun money I ever made. I don't feel one bit guilty.Get over it.
I'm with you. I've made well over 25k using their rules. Never pay em a dime in interest.
Same just happened to me. It was originally a Providian, then WAMU bought them out and now, of cousre it's Chase.
Started out with them 20+ years ago at some outrageous rate and finally worked it down to about 6 1/2. The said since I hadn't used it in 16 months that they had closed it. No notice, no warnng. Just Buh,bye.
Screw'em. I don't need it. I'm retired and my c/s is in the mid 800s. I have most of the toys I want and to h**l with trying to help the economy anymore.
They're just jealous because we can handle money better than they can. They are just better theives....The unspoken word is capital. We can invest it or we can squander it. -Mark Twain...Be kind to your children....they will choose your nursing home....aim low boys, they're ridin' shetland ponies !!
Chase just did the same to me last month too. Hadn't used it in 24 months so they closed it. A couple of years ago I opened a new Chase card with a 0% offer to transfer a balance to. Missed a payment and they jacked it up. So I called and said if they didn't re-instated the 0% I was going to take the money somewhere else. They didn't. I did. Shortly thereafter they called to ask what they needed to do to "help" me make the card my primary card. I told them I have a bunch of cards and run about 8K a month through two different cards...one for business, one for personal, and I just use whatever one is giving the best incentives at the time. If they want me to use it, make it worth my while. I guess they decided they couldn't do that so they just shut it down. Fine. I pulled my credit reports yesterday. I have 201K in open credit lines available to me. My carried balance is $0. $9500 if you count the truck loan. I don't need their stinkin' card.Steve
They're just jealous because we can handle money better than they can. They are just better theives.
If you're going to tell a lie, tell a big lie. People are more likely to believe it. Or in this case, if you're going to steal, steal a lot. It is more likely to be ok. So the guy who steals $50 from a gas station goes to prison. The company that steals 10 billion... gets to keep stealing. And if for some reason they overextend themselves.... no worries! The govt will come in and give them more $$.
jt8
The creative individual has the capacity to free himself from the web of social pressures in which the rest of us are caught. He is capable of questioning the assumptions that the rest of us accept. -- John Gardner
I wanted to chime in to provide some additional info and not to throw more gas on the fire. The current trend to raise rates on Credit cards even for folks with excellent credit is related to some new pending rules for credit card companies. Current practice is that if you miss a payment or they generally decided to change rates, that rate change will apply to all of your balance. Basically the credit card companies can retroactively change your rates on charges that you have already made.The new rules will only allow the credit card companies to change rates on all new charges and no longer be able to change rates retroactively. The down side of this is that credit card companies are changing rates on a lot of customers now before the new rules go into effect, even those with perfect payment histories and good credit. It still doesn't explain anything about the ethics of the companies that do this. here is a link to the new rules: http://www.federalreserve.gov/newsevents/press/bcreg/20080502a.htmDiane
Funny how the younger ones among us see the credit card as an essential item....... back in the sixties if those guys were to come up with this stuff they would have gotten run out of town on a rail........Whippersnappers get smart!. .........learn how to save again.
Funny how the younger ones among us see the credit card as an essential item....... back in the sixties if those guys were to come up with this stuff they would have gotten run out of town on a rail........
Whippersnappers get smart!. .........learn how to save again.
A credit card can offer better purchase and consumer protection than many other forms of payment. There is no reason to pay them interest. I have saved a lot of money, and earned a bunch, by sing thm wisely.
me too.......but I open accounts at supply houses for business stuff and pay them off before the month ends.I want a new pink refrigerator we save for it.......as with every other luxury item......one card emergency's only.Just feels good to be debt free
You can have and use cards and be debt free. You can have lots and lots of cards and be debt free, and it can have positive effects on your credit ratings. everyone is in an uproar about cards, but 90% of the people in bad card situations put themselves there, yet they blame the card co.
Just like the poster above that had a 0% interest rate that had one late payment and they jacked the rate. It says right in the agreement that they can do that. Why be surprised when they do.
The people that close the cards because they are mad at the cc company. That is an emotional reaction and has no negative impact on the CC co, but can have a negative impact on the cardholder. eep the card open, don't use it, or use it to your advantage, it doesn't have to cost you anything to use them.
>>like the poster above that had a 0% interest rate that had one late payment and they jacked the rate. It says right in the agreement that they can do that. Why be surprised when they do.<<That was me. I knew as soon I realized that I had lost track of the bill that they would probably jack the rate. I called them immediately upon discovering the misplaced bill, knowing that they count on people missing a payment so that they can do just that. But I thought I would give them a chance to keep me on the card, since that's what the promo offers are for...to gain you as a customer. I calmly negotiated. I said, "I've got plenty of other cards, and if you insist on raising the rate I'll just move the balance to a different card and not use this one." I put the ball in their court and they chose not to play. So I took my money elsewhere. Every other card that I've done the 0% thing on, after the promo was over I started using the card as a primary card to reward them for the free use of the money for a year.Edit to say: BTW I am basically debt free. The money I keep moving around at 0% is about 5K left on a 30K home equity line that I had run up. I decided to move it from secured debt at prime plus 1% to unsecured debt at 0%. Now my house is unencumbered. Which is a good feeling.Steve
Edited 12/5/2008 9:05 pm by mmoogie
The credit card is nuetral IMO and if you are a responsible person
they can work for you, I agree, But these guys promoting them are smart they play the odds and know that a large proportion of the public will overcharge the card and end up in their debtors prison..........a monthly cycle of interest payments.Then they got you!..............it's a mindset that many times leads to addiction...........sometimes as bad as a narcotic addiction.So although it certainly is a deed of choice, most are not strong enough to resist the "I want it now!" syndrome. Saving up for something has a plethora of benefits, getting it now creates a society like the one we are living in.
Polcat, You say
"Whippersnappers get smart!. .........learn how to save again."I heard recently that the avg savings by Americans is 0.4% of annual income. The guy who was telling me this was also mentioned hearing a story on NPR about how the Credit card companies were frustrated by their inability to get a toehold in China because no one wanted/needed their services. Apparently the avg savings of the Chinese is around 25% of their income.The guy also recommended a book called "The richest man in Babylon". I haven't read it but I glanced at the reviews on Amazon and a few of the reviews complained it was repetitive about the basic premise of saving 10% of your annual income.My new years resolution is to start saving 10%. I fortunately have only mortgage debt so I figure I should be able to save 10% pretty easily given that apparently a lot of ill informed credit card users pay more than 10% of their income in credit card payments for non essential impulse purchases.Karl (about to start trying to defy the national norm and put a few dollars in savings)
This notice was a proposal for rules requestion public comment. To my knowledge they were never able to be passed over the objections of the credit card companies. I could not find any more recent information on the internet, maybe someone else can. It just seems to have died out.
John
I heard about it a couple of weeks ago and as far as I know it is still in "proposal" stage but it sounded like it was going to be finalized. My google-fu was weak and that was the only link I could come up quickly. I'll see if I can find better info. I heard this through a local consumer advocate and the recent rise in credit card rates for those with excellent credit ratings and spotless payment records. Apparently this rash of credit card hikes is fairly rampant and it was associated with the pending rule changes. More than likely there is also the cash flow issue for CC companies that is driving this as wellDiane
I hope you are right, I was in favor of the more stringent creditors bill of rights proposed in congress, but I will settle for this as a first step.
John
I just ran across this when googling about credit cards. It appears the House passed the CC Bill of Rights, hopefully the Senate will follow suit.
John
http://www.opencongress.org/bill/110-h5244/show
>>My google-fu was weak
That's a keeper....
The same thing happened to me except more diabolical. I was leaving the country so i informed Advanta that I might be using the card overseas. While I was out of the country they sent me a message by snail mail that my interest rate was raised to 27% and that my minimum payment was $450.00 instead of $74.00. The problem was that I only paid $74.00 because that was the minimum that was posted online. They didn't bother to post the higher number in their Advanta online alerts.
So I had to pay a late payment.
Avoid this card.
My recent letter to Advanta. I am personally declaring war on Advanta. I am not putting up with this cr@p.
I am waiting for a response to my message sent to you on Dec. 2nd. I have not heard from you regarding my interest rate hike from 7.99 percent to 24.99 percent even though I have an 849 credit score. Perhaps there is no plausible reason other than GREED.
In the meantime I have posted my feelings at Breaktime.com on a thread called "Advanta Credit Card Rant." I will not sit by and let this just happen.
I recently pulled my credit report and just below where it stated I have an 849, that's EIGHT HUNDRED AND FORTY-NINE, CREDIT RATING, the following is printed;
"What does that mean to me? Congratulations! Your diligent credit habits have paid off; your credit score is in the top tier. You should be rewarded with the best offers from lenders. You will probably find companies competing for your business."
LOWER MY RATE BACK TO 7.99 PERCENT!!!
Is there even one person who reads this at Advanta who has even a shred of moral obligation or are you all greedy scum sucking pigs like Dennis Alter your boss, the CEO of Advanta. Please dear Advanta customer service rep who reads this, go to ripoffreport.com and search for Advanta and see what people are saying about your firm. Why do you want to be apart of something like this. Please tell you co-workers about rippoffreport.com. Then do the right thing. You know what it is. Really. It?s that little voice inside you. You can be the one who raises the moral flag and says we can?t do this anymore. Do it because you go to church. Do it because you have a dear sweet grandmother. Do it because your own kids will be subjected to this #### in the future if it doesn?t stop. Do it because it is the right thing to do. Do it because there is a very good book that is totally summed up by one sentence, "Do unto others as you would have them do unto you."
Constructing in metric...
every inch of the way.
Response from Advanta:
Dear Mr. Bennett,
Thank you for contacting us about the terms of your Advanta account.
We apologize that your previous email did not receive a response yet. Our records indicate that your email was forwarded to our Executive Team for review. We will not be able to send a response till they have reviewed and addressed your complaint.
We appreciate the opportunity to serve you and your business needs. If you have any other questions or concerns, please feel free to contact our Customer Service Center. You can visit us online 24 hours a day at http://www.advanta.com or call us toll free at (800) 705-7255, Monday - Friday 8:00 am to 8:00 pm and Saturday 8:00 am to 5:00 pm Eastern Time.
Amy B.
Account Manager
Advanta
Constructing in metric...
every inch of the way.
Latest email to Advanta.
At the time of purchase of the items on my last statement, the interest rate on my card was 7.99 percent. I would not have used the card had I known that you would be raising my rate to 24.99 percent. I will not be paying the extra amount of interest charged so please take it off my bill. How can you retroactively go back and change the percentage rate of purchases prior to you notifying me of the changes.
I am also waiting for the Executive Review team to contact me regarding my prior email. I am sure it will take quite a bit of time to have your Executives justify raising my rate from 7.99 percent to 24.99 percent when I have an 849, that's EIGHT HUNDRED FORTY NINE, credit score. I am waiting, I'm still here waiting for your reply. Please tell me so I can relay this info the the States Attorney General's Office who has taken an interest in what kind of outcome I personally can achieve against you S.O.B.s.
Constructing in metric...
every inch of the way.
Keep it up.
These cucksockers need to know how obscene their practices are.The best reward for a job well done is the opportunity to do another.
Everyone needs to understand this....
FICO scores now mean ALMOST NOTHING to lenders.
All models of lending that were based on those scores are being changed.
Lending is now becoming more local and will be based on "knowing the customer".
You can fight the trend and lose or understand it.A La Carte Government funding... the real democracy.
This just in! Advanta Buckles Under Pressure From Ticked Off Consumer!I just got the following from the folks at Advanta. I haven't called yet, but I am sure they will lower it to 22.99 percent. Will keep you posted.Dear Mr. Bennett,Thank you for contacting us about the Annual Percentage Rates on your Advanta account.We understand it can be frustrating when changes are made regarding your account terms. However, our records indicate a lower rate may be available for your account. If you would please contact our Customer Service Department at the toll-free number indicated below, we will be happy to review the Annual Percentage Rate for your account.We appreciate the opportunity to serve you and your business needs. If you have any other questions or concerns, please feel free to contact our Customer Service Center. You can visit us online 24 hours a day at http://www.advanta.com or call us toll free at (800) 705-7255, Monday - Friday 8:00 am to 8:00 pm and Saturday 8:00 am to 5:00 pm Eastern Time. Shirley F
Account Manager
AdvantaConstructing in metric...
every inch of the way.
so they're going to set you up with a 24.98?
got any strategy for eliminating the debt?
24.98, Yeah, ain't they generous.I have already transferred the 8K to a card that will carry it interest free for a year with no balance transfer fee. I should be able to pay it off with in the next month or two when I finish up a few jobs and my cash crunch eases. I was only carrying a balance with Advanta because the 7.99 percent was cheaper than my line of credit at my bank.Constructing in metric...
every inch of the way.
>>I have already transferred the 8K to a card that will carry it interest free for a year with no balance transfer fee.<<That will carry far more weight with them than all the angry e-mails and letters. Keep several cards available to you and you can just move stuff around if they yank your chain. Most cards almost always have a balance transfer offer for 0% with a 3% transaction fee. Usually to get 0% with no transaction fee you have to start a new card, but not always.Chase ticked me off once, so I pulled an 8K 0% balance away from them and quit using the card. Within two months they were calling me to ask what they could do to get me to use the card again. I told them that since I don't carry any interest carrying balances, I just use the card with the best benefits, so just keep me posted on what their current cash-back and rewards programs were, and if theirs were the best, I would use them.Steve
My Dearest Breaktimers;It seems in my diatribe against Advanta I have misrepresented some percentage rates and have actually crossed the line between truth and fact. I am wrong and I am sorry. I based it on the knowledge at hand and thought it was correct. I write this in order that you may judge Advanta accordingly.I previously stated here on Breaktime that Advanta changed my percentage rate from 7.99 percent to 24.99 percent. Forgive me, but they actually changed my rate from 7.99 percent to 27.18 percent!Please find it in your heart to forgive me.Sincerely yours,Holy HammerConstructing in metric...
every inch of the way.
well then you ought to be happy when they drop it to 24.99.
You can go to a pay-day loan center and get a better rate than that! Good to know that they don't need yor business.
Or you can act like the customer they are courting...run up the card to max, and then stop making payments. With your score, you can afford to take a small hit from non-payment...
just sayin'
Interesting timing:
http://www.walletpop.com/credit/article/_a/bbdp/regulators-adopt-new-credit-card-rules/280969
The feds have finally instituted new rules for CC companies (of course they don't take effect for another year and a half).
John
I have recent read that Advanta specialty is 'sub prime' credit cards. They want only the folks that have to pay huge apr cuz that is the only card they can get. Their business plan is have semi dead beat customers and they are treating the op accordingly. These rip off artists are doing their best to bury people whenever they can. Predatory lending ought to be a crime, but there is big money in it.
Run away is your best strategy. If you qualify, the best Visa deal I have ever seen is from AARP.
Norman, Every month or two the AARP membership package comes in and it gets to be a joke with me and my wife. I tell her that the AARP is for old people! :-) She tells me, I am old. I might have to look into it. I said might, I didn't say I will, but I might, since it could save me a few bucks. Right? Thanks for the tip.Constructing in metric...
every inch of the way.
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