My credit card company is changing the rules.

[TerryH]

Originally Posted by dafischer

I got my hosing from Capital One today. The only one I carry a balance on. My rate is going from 6.9% to 15.9% as of April 1. Plus, it's now a variable rate.So long Capital One...

I did a balance transfer tonight on the offer I got from Wells Fargo@ 0% for transfers and purchases for 1 year. 8.5% thereafter. Sounds like a better deal to me.

Sounds like you got the same tidbit as me. BTW, is yours the "No Hassle Rewards" card? Seems 20K reward points minimum for redemption. Mine are at 19417 and won't be using the card again. So, I'm in need 583 points or they all poof. Perhaps a small deal could be worked out.... anyone?

Transfers are easy at https://nohasslerewards.capitalone.com/Login.aspx

[Rufblackbird]

Originally Posted by jcunning

1st. I got a nice letter from USAirways that I wasn't using their card enough and they cancelled the account. Oh well, I didn't use the card because their "perks" were so limited it wasn't worth the hassel.

2nd. I got a letter from Citi saying they were raising my rate from 7.9 to 14.99. I then transferred the balance to a 1.9 limited time card. I'm currently working on paying this bad boy off before the low interest expires. The Porsche project car really ate up a lot of money last year!

got the same letter from Citibank...since that happened I no longer use it.

[campbellcj]

Hearing this kind of crap over and over sure makes me glad that I finally got the credit card scumbags paid-off a while back! Still haven't cancelled several of the accounts though. I would like to do away with them all, but I figure from a practical standpoint I should keep one Amex and one Visa/MC open since I travel heavily. I may keep another competing Visa/MC open as a backup in case the primary goes belly-up or decides to go squirrely on terms & conditions.

Is it true that closing an old account with a lot of history (10-20 years) is a major ding on your FICO? I have no need of a FICO other than perhaps moving-up in house but that's 2-3 years out at best.

[Langers]

"Stashing" a card away might not be a good idea. Depending on your plans for
credit in the next few years, it could negatively impact a credit application. If you've got, say,
a $20K limit on the card with a zero balance
and you apply for a mortgage, the lender will
look at that 20K as a debt, because,
potentially, you could run out tomorrow and
max the card. If it's a small limit like $500,
then who cares, but if it's a larger limit, and
you might be looking for a mortgage, car loan,
etc. in the future then you should consider
closing it outright. Then sit tight and watch that
cheque for $1 roll in! src="../../ultimate/smile.gif" border="0" alt=""
title="Smilie" class="inlineimg">

How then do they judge the credit worthiness of someone with a centurion card that effectively has no limit?

[azasadny]

We're paying off the cards this week and not using them again.

[David]

I would imagine Capital One's having to raise rates to cover the cost of all the paper they're sending to my house. How can it be cost effective to send someone a credit card application every day?

[masraum]

Originally Posted by 125shifter

I would imagine Capital One's having to raise rates to cover the cost of all the paper they're sending to my house. How can it be cost effective to send someone a credit card application every day?

That's what I don't understand. Credit is the reason that we're in the mess that we're in, but they are still dying to give me more credit.

[asphaltgambler]

Same deal happened to me from Cap one.....................................just received the "letter" same *****.........................been a very good customer for 5+ years.

Seems as if the banks are shifting their bad debt load onto good customers with good credit...........which is just completely ridiculous

[Porsche-O-Phile]

Same here - just got a letter. I'm sending them the letter rejecting the new terms tomorrow. Arseholes. I imagine there will be another company to come along with a new offer which I can shift my (relatively small) balance to shortly.

Typical short-sighted stupidity.

[vash]

i am not alone.

i went to my credit union as suggested above. i applied for a card through them. 1% cash back reward, with zero fees. better than the BS with capital one.

[TerryH]

Originally Posted by Porsche-O-Phile

Same here - just got a letter. I'm sending them the letter rejecting the new terms tomorrow. Arseholes. I imagine there will be another company to come along with a new offer which I can shift my (relatively small) balance to shortly.

Typical short-sighted stupidity.

Had Capital One for over 15 years. They are Jekyll and Hyde. The best in good times and one of the worst when they want to be.

I'm rejecting the terms also, but not before I try to get another 600 reward points and claim a paultry $100 Best Buy or Walmart gift card. I refuse to surrender 19400 points. I want to make them pay.

So, anyone have a few rewards points from them they don't need?

[widebody911]

I wonder how many people got the new terms and didn't even notice...

[jyl]

Card companies trying to get rid of risks, incl customers carrying balances without repayment activity and customers carrying lots of spare credit in unused cards. They are preparing for rising defaults. Amex doing the same now.

[Porsche-O-Phile]

Originally Posted by widebody911

I wonder how many people got the new terms and didn't even notice...

Probably most.

Yes, people really are that stupid.

I've always wanted to do a social experiment - send 100,000 random people an authentic-looking bill for something they always use (like water or air or sidewalks). See how many pay up. Bet it'd be a shocking percentage. Problem is, it's probably mail fraud or a violation of any one of a number of laws - but it'd sure as hell be interesting.

[Eric Coffey]

Originally Posted by Christien

"Stashing" a card away might not be a good idea. Depending on your plans for credit in the next few years, it could negatively impact a credit application. If you've got, say, a $20K limit on the card with a zero balance and you apply for a mortgage, the lender will look at that 20K as a debt, because, potentially, you could run out tomorrow and max the card. If it's a small limit like $500, then who cares, but if it's a larger limit, and you might be looking for a mortgage, car loan, etc. in the future then you should consider closing it outright. Then sit tight and watch that cheque for $1 roll in!

Not positive, but I think the opposite is generally true. Closing any account that you've had for some time will negatively affect your account history ratio. Also, having a credit card account open with a large limit, but low balance can actually help your credit score, as it lowers your cumulative balances-to-available credit ratio. I applied for a credit limit increase on my primary Visa, and it kicked my FICO up about 10 points. YMMV, but I've always been told never to close a credit account, and to try and keep the balances below 10% of the available credit (limit) if possible.

[RWebb]

vash - Cons. Reports rates CC's -- they give the best ones for various scenarios like full payoof each month vs. partial, etc.

I got a similar letter from mine - it is a very early AT&T Gold card that keeps getting the operation sold. It cannot be closed or something and yeh they boost my limit all the time. I could buy a car with it...

I use it only as a convenience card, but someday I will make a payment late or something and they'll wang me for 28% interest.

maybe I'll switch to the one my credit union offers... I am addicted to the points I get from the AT&T card. I can get SnapOff tools for free...

[dafischer]

Originally Posted by TerryH

Had Capital One for over 15 years. They are Jekyll and Hyde. The best in good times and one of the worst when they want to be.

I'm rejecting the terms also, but not before I try to get another 600 reward points and claim a paultry $100 Best Buy or Walmart gift card. I refuse to surrender 19400 points. I want to make them pay.

So, anyone have a few rewards points from them they don't need?

Terry, PM me with your points Transfer ID. You can have the 1,081 points I have left after redeeming tonight.

[TerryH]

Originally Posted by dafischer

Terry, PM me with your points Transfer ID. You can have the 1,081 points I have left after redeeming tonight.

Awesome! PM sent. Muchos Gracias!!

[dafischer]

Points transferred, and PM sent. De Nada.

[campbellcj]

Originally Posted by Langers

How then do they judge the credit worthiness of someone with a centurion card that effectively has no limit?

For that card you have to submit detailed financial info for review annually. Last I heard, you also have to spend at minimum $200K a year on the card in order to keep it.

Any regular Amex has no "pre-set" limit, but obviously their computers keep track of your payment history and most likely some other readily available stats via the credit bureaus. You can call them anytime to check if a purchase for a certain amount will be approved or not but they will not outright tell you your "limit" AFAIK.