What do you guys on your credit card Interest?

[Lenny]

Here, we now have a "Bank of Canada" rate of 1%. Prime, the rate they lend us money at is at 3%. The Big Banks have refused to follow the Bank Of Canada rate rate cuz I guess it is all about them now. It used to be within a 1%-1 1/2% spread.

To put it in perspective, there is the Federal Reserve rate and the Banks in your Country. What is the spread ?

Now what gets me is, in 1980, when the interest rates on a Mortgage were about 21% :eek: we were earning about 12-14% at the Banks on deposits. Give or take. CREDIT CARD interest was at 23.99% basically across the board.

25 years later...

Now we see (between Countries on average) non-existent earnings on deposits only to be eaten up by bank fees. Big number residual deposits trigger an interest return, but minimal. We now have a 3-5% max interest rate on mortgages between our two Countries and yet CREDIT CARD interest is still (here) at anywheres between 18.9% and 24%.

What the $^%& :eek:

What really killed me was CitiGroup, AFTER BEING BAILED OUT, took their exposure, fine print and contracts, and tried to increase all these "do not pay" for 6-9-12 months balance transfers to the max lending rate citing "fine print" ? I believe your Congress shot that down, but, ... MAN,... the audacity :mad:

What do you guys/gals see ?

p.s. TIME TO BUY GOLD (remember these words...on this day... in the future...)

Economists generally agree that high rates of inflation and hyperinflation are caused by an excessive growth of the money supply

[gcarter]

"Economists generally agree that high rates of inflation and hyperinflation are caused by an excessive growth of the money supply"

That's what happened in the early '80's.

I have an existing balance on one card that's at 20%. I don't want to just transfer it to another and have that go up too, so I'm paying it off as fast as I can.

[McGary911]

I honestly don't know what my credit card rates are :confused:. I'm one of those guys who charges everything possible on my card, and pays it off at the end of the month no matter what. I like the convenience, extended warranties, travel bonuses, points, etc.......not to mention that everything is itemized as the end of the month for me, so i know where it went.

Just checked online. my APR is 10.99%.......

[VetteLT193]

My main card is at 8%.

I don't pay too much attention because I haven't carried a balance since before I was married, I only noticed the rate on my main card because I thought it was amazingly low.

[fegettes]

I honestly don't know what my credit card rates are :confused:. I'm one of those guys who charges everything possible on my card, and pays it off at the end of the month no matter what. I like the convenience, extended warranties, travel bonuses, points, etc.......not to mention that everything is itemized as the end of the month for me, so i know where it went.

Just checked online. my APR is 10.99%.......


Ditto! I am the same way. I have one Credit Card I use for monthly charges and pay it off each month.

And then I get all of these 0% offers for about 6, 9, or some times 12 months, and I will take advantage of those and pay them off before they expire to large interest rates, what ever they are. I bought both of my Donzi's with these 0% offers and paid them off within about 6 months.

[MOP]

I also pay them of each month, years back I got a bill for 7 and change and ah I'll pay 5. Dummy me got a very rude awakening, next months bill came and yes I know many know what happened. Interest on the balance I did not pay and interest on every purchase for the current month, that was the end of leaving any balance. A little known fact here in the states is has anyone noticed there are no credit card companies based in New York state?? Reason being is New York many years back instituted a "Usury Law" to combat loan sharking. Every single card company would be in violation of that law! I have a friend that used to buy up credit card debt, they sell it off very cheap usually 10 cents on the dollar. He would send out letters that if they paid just 25 cents on the dollar he would clear their credit history, needless to say he made millions and stashed in Caribbean banks. The Fed killed offshore accounts and he lost most of the millions he made!!!!

Phil

[DonziJon]

I've ALSO have always paid the Credit Card bill In Full every month. It makes me feel so guilty, I don't mind paying the annual fee because I appreciate the convenience. Old Yankee. John

[VetteLT193]

I've ALSO have always paid the Credit Card bill In Full every month. It makes me feel so guilty, I don't mind paying the annual fee because I appreciate the convenience. Old Yankee. John

There's no way I'd pay an annual fee even though I pay it off every month. The card companies make money from the businesses you use the card at too. So they literally make money coming and going. :bonk:

[Donziweasel]

I don't know about the interest rate thing, but I just had it out with Amex. Had a 35,000.00 limit, and owed 12,000.00. A month ago, they lowered my interest rate a point because I was such a good customer. Then, 2 weeks ago, they e-mailed me and said they had lowered my limit to 14,000.00. I have never paid late and always pay more than what is due. They said that too may inquiries had happened on my credit report. My score is a 762 and has not been lowered at all. Told them I was going to cancel if they did not raise my limit back up. They didn't care that I was a great customer. They told me to basically go to hell. I cancelled the card.

I think all credit card companies are peices of crap.

Another one, I have a Visa. I use to use it for cash advances. I did not know it was 24%. I figured it out and paid down the card. I was still being charged 24%. When I inquired why, they said that the cash advanced was the last part of the bill to be paid, although the advances were done over a year ago. The only way to get rid of the 24% was to pay the card in full and never use it for advances again.

Congress is about to stop alot of this crap. For all I care, all of them can burn in hell. The reason I have this attitude, is that when Amex lowered my credit limit, it now looked like I had used all my available credit and that did lower my credit score.

[justleft]

I have zero credit card dept right now. Pay it off every month.
The only dept I am carrying is the home mortgage at around 5%.

My credit union informed me last summer that they were going to
charge a $5 per month fee on all credit card accounts with no
balance !!! :eek: What's worse was that I had a couple grand in
a saving account there earning only 3% !!

I am no longer a customer of theirs.

Then there's the business account, the bank has fees for everything !!
They lost a deposit for 3 days and wanted to charge me for them lossing it !!! :nilly:

They are next to kicked to the curb.

[HOWARD O]

We paid everything off and tore them up immediately afterwards when we refinanced the house a few years ago. Use the debit card or cash for everything now. It's been like freedom ever since only having one debt, THE HOUSE!

I'd start off good with a credit card by paying it off every month, but one thing leads to another and next thing I knew, I was in more debt than I cared to be! I don't care if I ever have another one, we've saved so much without it and are much smarter with our purchases since we're paying cash.

[HOWARD O]

I have zero credit card dept right now. Pay it off every month.
The only dept I am carrying is the home mortgage at around 5%.

My credit union informed me last summer that they were going to
charge a $5 per month fee on all credit card accounts with no
balance !!! :eek: What's worse was that I had a couple grand in
a saving account there earning only 3% !!

I am no longer a customer of theirs.

Then there's the business account, the bank has fees for everything !!
They lost a deposit for 3 days and wanted to charge me for them lossing it !!! :nilly:

They are next to kicked to the curb.

I freakin' HATE banks! They SUCK!!!

What really irritates me are their "holds" on checks. They get the money immediately and earn interest on all that money before they decide to give it to you. Bunch of CRAP!!! I HATE 'EM!!! :mad:

[Lenny]

I don't know about the interest rate thing, but I just had it out with Amex. Had a 35,000.00 limit, and owed 12,000.00.

John, my AMEX did the same. No balance, had a $22,000 limit, then I got a letter stating that it was now lowered to $6K. :confused:

I guess they are all scared of the exposure (or possible exposure) in this financial climate... ???

[chappy]

John, my AMEX did the same. No balance, had a $22,000 limit, then I got a letter stating that it was now lowered to $6K. :confused:

I guess they are all scared of the exposure (or possible exposure) in this financial climate... ???

Same here, mine went from 15k to 5k. Didn't help that I bought a house last August and refinanced this week with the lower rates. I was told there have been too many credit inquiries the past year, all due to the action on the house. I understand the game, but it still feels like a kick in the pants.:)

[fogducker III]

I'm with Howard on this, if I can't pay cash, I don't buy it. To me personal dept is different than a business dept, as long as the business finances are structured correctly.:wink:

A number of years back we bought a house at the wrong time, paid a large down payment and the bank that gave us our mortgage, and because we paid the hefty down payment, they gave us a Gold Visa with a $50,000 limit.........to make a long story short, house prices dropped out of sight, we stretched ourselves too thin and the bank and credit card company were on us like a "fat kid on a Smartie".....

Cash is the only way for us now.........but I agree with Lenny and the rest of you who find the banks and credit card companies being out of hand......:yes:

[Ghost]

Ditto what MCGary and others said about not even knowing.

I find it interesting how much those companies skim off transactions themselves, cutting into the merchants' business. Nobody seemed to care for the last 20 years except a few gas stations, but I bet we start seeing a lot of cash/credit price distinctions going forward.