Happened to me as well. No idea why. Went from 4% to 20%. Transferred to a new card that promised “6% forever” which in a month was sold to another company and they immediatelly cranked it up again to 18%. Tried to get a consolidation loan at lower interest from a bank and was refused. It’s like some kind of conspiracy across banks- force you to pay through the nose for years and never be able to clear the debt. If it had stayed at 4% I’d be done paying it off by end of this year.
I have been with the same Creditcard for 10 years. I paid on time except twice and it was only a day or two late. I always sent the check 1 1/2 weeks early. I always paid more than the minimum. Last spring it jumped from 12-16%. I tried to get a card to transfer it to without luck ( I do not have a job, my husband does). I called a few times about lowering my APR). Mid summer it went to 19.6%. I called twice to ask for it to lower and got a copy of my credit report (no bad comments). I called twice in the last month to have it lowered and they said they were going to actually raise it again. I asked why, she said she could not tell me but a letter would be sent. I called again and aske for it to be lowered, she said she couldn’t do that because it appeared on my credit report that I had accumulated too much credit. My credit has gone up in the last 5 years (husband was in school the last 7) but in the last year it has stayed basically the same thanks to their high APR! She said I could choose to close my account to lock in the rate I had. I got a letter today that was so confusing and it makes very little sense.
It is stressful. When I got my credit card I believe it was 8%. Now near 20% and I have stayed within my credit limit, paid on time and more than what is the minimum.
go up the ladder, call, ask again, if they say no, ask for their supervisor, if they say no, ask for theirs, and so on….eventually you will get someone that will say yes.
I have come to believe that credit cards are the biggest scam ever. I am stuck with a few credit cards myself, but working very hard to get rid of them (my wife is not helping much!) And once I’m done with them, I will never ever have a credit card in my life.
I mean who’s the genius that came up with this. I want a buy something that costs a 100 dollars. But I don’t have the money. So I take the item home, and I spend the next few years paying for it, over and over and over! How freaking brilliant (for them).
I have come to believe the only way to have a credit is to:
- Have an emergency fund.
- If one chooses to play the credit card game get a card only if you can get one that charges no fees and only charge what you know you can pay off when the bill comes due.
I know this doesn’t help when you are in the trap of high interest, but life is a learning process.
I have heard experts say “play the credit card game right “. The stakes are high for those who play the game wrong. I choose not to play it at this time in my life.
As long as the leaders in this country keep getting big $$$ from the financial services industry in this country, you can be certain they will be given top priority and not the lowly consumer. Beware. You may also be able to get some help at this site: http://www.nfcc.org/.
I have found that if you “need” a credit card a credit union will normally offer better rates than going through a CC company or your local bank. Best to check out local rates before you sign the paperwork….
This is why debit cards are so good. They won’t work (I don’t think) if you don’t have the money in your account but they’re used just about everywhere like credit cards.
The other thing I’m doing is weaning myself away from Wells Fargo and other gigantic banks who don’t need my piddly business and going to the small, local ones that only have a few branches. A benefit to that is that it’s not as easy to pull out cash, I’m not going to use a card for a small item, so maybe I don’t really need the $4 Starbucks coffee 😎