Watch out Bank of America customers
Major (arbitrary and very agressive) hikes to interest rates on credit cards coming for many
JoeUser Forums
This news makes me very glad I'm not a Bank of America credit card customer: (headline is linked)
Bank of America blindsiding cardholders?
The nation's biggest bank is doubling interest rates for some of its most responsible credit card customers.Credit card issuers have drawn fire for jacking up interest rates on cardholders who aren't behind on payments but whose credit scores have fallen for other reasons. Now, some consumers complain, Bank of America is increasing rates based on no apparent deterioration in their credit scores at all.
The major credit card lender in mid-January sent letters notifying some responsible cardholders that it would more than double their rates to as high as 28%, without giving explanations for the increases, according to copies of five letters obtained by BusinessWeek.
Fine print at the end of the letter -- headed "Important Amendment to Your Credit Card Agreement" –- advised calling an 800-number for the reason, but consumers who called say they were unable to get a clear answer.
more at the linked article...
I've known for a long time that Bank of America (and MBNA) are evil businesses, but this really takes the icing on the cake. Customers who've done absolutely nothing wrong finding that the interest rates they are required to pay for their credit cards are doubling?!!? As much as I normally despise government interference in the free market system, this really does cry for the government to step in and smack the crap outta these corporations for these predatory practices. For many of these customers these increases will result in creating a spiral that leads straight to bankruptcy, except, oh yeah, by the way, MBNA and their lobbyists already bought off the Congress to make walking away from debts like these via bankruptcy much more difficult.
MBNA and Bank of America, etc., have done their best to create a steady stream of the highest income levels (for themselves) that they can. When is enough, well, enough?
I guess when the masses rise up and really demand change via calls to their elected representatives to do something, anything, to improve the situation.
