Comments on: Citi and Amex Changing Terms, Raising Rates and Fees http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/ personal finance tips, tricks, and commentary Sun, 22 Nov 2009 02:21:27 -0500 http://wordpress.org/?v=abc hourly 1 By: Tim http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-127016 Tim Fri, 05 Dec 2008 10:03:10 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-127016 @steve, i think you are correct about opting out, which would cancel your promo rate. there are lots of new changes being announced, so it is really best to read the fine print and ask you creditor. If it isn't showing in an addendum or on your credit statement, the policy isn't targeting you. i also wouldn't call, because I like to have things in writing. I'd send chase a secure email through your online acct. @steve, i think you are correct about opting out, which would cancel your promo rate. there are lots of new changes being announced, so it is really best to read the fine print and ask you creditor. If it isn’t showing in an addendum or on your credit statement, the policy isn’t targeting you. i also wouldn’t call, because I like to have things in writing. I’d send chase a secure email through your online acct.

]]> By: steve http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-127015 steve Fri, 05 Dec 2008 06:16:20 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-127015 It is not clear to me that you have the option to opt out and pay on your existing terms. I believe they have the right to just change the terms and if you opt out the whole balance becomes due. At least, that is my understanding. I may have to call Chase and find out. It is not clear to me that you have the option to opt out and pay on your existing terms. I believe they have the right to just change the terms and if you opt out the whole balance becomes due. At least, that is my understanding.

I may have to call Chase and find out.

]]> By: Tim http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-127007 Tim Thu, 04 Dec 2008 23:31:01 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-127007 @Patty: the $10/mo fee is for people having carried large balances for 2 or more years; although may not be able to opt out, they can terminate the card and pay under old terms or they can give up their promo rate. seems to me , if you have promo rate and can afford to pay off the card within the promo period, you can afford to pay an increased monthly minimum. it will definitely curb the 0% bt arbitrage game, though, if the monthly min is increased. @Patty: the $10/mo fee is for people having carried large balances for 2 or more years; although may not be able to opt out, they can terminate the card and pay under old terms or they can give up their promo rate. seems to me , if you have promo rate and can afford to pay off the card within the promo period, you can afford to pay an increased monthly minimum. it will definitely curb the 0% bt arbitrage game, though, if the monthly min is increased.

]]> By: Patty http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126988 Patty Thu, 04 Dec 2008 03:52:52 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126988 So, have you seen the WSJ article referenced at fatwallet at http://www.fatwallet.com/forums/finance/879603 Chase is instituting $10 monthly fees starting January and increasing minimums due to 5% of balance from 1% with no option to opt out for some (all eventually?)with existing life of balance transfers in use. So, have you seen the WSJ article referenced at fatwallet at http://www.fatwallet.com/forums/finance/879603
Chase is instituting $10 monthly fees starting January and increasing minimums due to 5% of balance from 1% with no option to opt out for some (all eventually?)with existing life of balance transfers in use.

]]> By: Ron http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126971 Ron Wed, 03 Dec 2008 13:06:42 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126971 As the Fed rates go down, the CC rates go up. I know they're convenient, but somewhere in the future, people will look back and say, "WHAT were we thinking?" As the Fed rates go down, the CC rates go up. I know they’re convenient, but somewhere in the future, people will look back and say, “WHAT were we thinking?”

]]> By: Double Journey http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126970 Double Journey Wed, 03 Dec 2008 05:37:28 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126970 I just wrote a post on my blog about the tightening credit card environment. I have a credit card that I don't use that was closed on me. I called to open it, and they wouldn't. I don't need the card. I don't have any credit card debt. I have a really high credit score. Yet the bank is pulling credit from someone like me. Yikes! Things are getting bad. I just wrote a post on my blog about the tightening credit card environment. I have a credit card that I don’t use that was closed on me. I called to open it, and they wouldn’t.

I don’t need the card. I don’t have any credit card debt. I have a really high credit score. Yet the bank is pulling credit from someone like me. Yikes! Things are getting bad.

]]> By: Tim http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126960 Tim Tue, 02 Dec 2008 23:47:26 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126960 @Angie, as with any other contract terms, your 0% bt promo rates remain the same; however, it can change if you do not abide by the terms of the promo (i.e. miss a payment etc). @benp: 3% has been near standard for many banks, although the total was 3% with 1% being the V and MC transaction charge. What this really seems to mean is that you will not pay 4% total (3% card issuer, 1% V or MC). @Danielle: no one is getting royally screwed, because if they don't like the terms, they can close the accts and pay off at old rates; they can stop carrying balances, etc. since people can't self-regulate themselves, creditors are forcing the issue. for those with good credit that don't carry balances, rates are dropping and limits are increasing and 0% bt offers are still plentiful. I continue to get 0% bt offers, even from citi. my limits have just been increased and my rates have just been decreased (my citi is under 10%). @Angie, as with any other contract terms, your 0% bt promo rates remain the same; however, it can change if you do not abide by the terms of the promo (i.e. miss a payment etc).

@benp: 3% has been near standard for many banks, although the total was 3% with 1% being the V and MC transaction charge. What this really seems to mean is that you will not pay 4% total (3% card issuer, 1% V or MC).

@Danielle: no one is getting royally screwed, because if they don’t like the terms, they can close the accts and pay off at old rates; they can stop carrying balances, etc. since people can’t self-regulate themselves, creditors are forcing the issue.

for those with good credit that don’t carry balances, rates are dropping and limits are increasing and 0% bt offers are still plentiful. I continue to get 0% bt offers, even from citi. my limits have just been increased and my rates have just been decreased (my citi is under 10%).

]]> By: troy http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126954 troy Tue, 02 Dec 2008 20:08:04 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126954 This is what happens when you play a game where the opponent makes the rules and can change them mid-stream. My debit card terms have not changed in years. This is what happens when you play a game where the opponent makes the rules and can change them mid-stream.

My debit card terms have not changed in years.

]]> By: benp http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126929 benp Tue, 02 Dec 2008 00:25:09 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126929 I got the same letter. My favorite sentence. <i><b>Transaction Fee for Foreign Purchases.</b> We add a fee of 3% of the US dollar amount of each purchase made outside the US wheter made in US dollars or in a foreign currency. This fee is a <b>FINANCE CHARGE</b></i> 3% seems pretty steep, especially since they have always been able to take a small cut by choosing a good exchange rate. I got the same letter. My favorite sentence.

Transaction Fee for Foreign Purchases. We add a fee of 3% of the US dollar amount of each purchase made outside the US wheter made in US dollars or in a foreign currency. This fee is a FINANCE CHARGE

3% seems pretty steep, especially since they have always been able to take a small cut by choosing a good exchange rate.

]]> By: Danielle http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126924 Danielle Mon, 01 Dec 2008 21:13:05 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126924 Ouch, well at least this finally prompted me to set up a couple of alerts on my Citi card related to available credit. I only have $116 balance, so I doubt it will affect me, except in my FICO score of course. The only comfort I am finding in this is that when reading the comments on your "credit addict" site it sounds like there are many getting royally screwed by the reductions in credit limits. For me it is just a minor inconvenience at this time. Ouch, well at least this finally prompted me to set up a couple of alerts on my Citi card related to available credit. I only have $116 balance, so I doubt it will affect me, except in my FICO score of course.

The only comfort I am finding in this is that when reading the comments on your “credit addict” site it sounds like there are many getting royally screwed by the reductions in credit limits. For me it is just a minor inconvenience at this time.

]]> By: nickel http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126923 nickel Mon, 01 Dec 2008 20:52:08 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126923 Angie: That's a good question. As far as I know, these changes apply to their "standard" terms, as outlined in their cardmember agreements, and the promotional offers supercede these rates. If you want to know for certain, I would suggest calling the card issuer. Angie: That’s a good question. As far as I know, these changes apply to their “standard” terms, as outlined in their cardmember agreements, and the promotional offers supercede these rates. If you want to know for certain, I would suggest calling the card issuer.

]]> By: Angie http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/comment-page-1/#comment-126922 Angie Mon, 01 Dec 2008 20:31:24 +0000 http://www.fivecentnickel.com/2008/12/01/citi-and-amex-changing-terms-raising-rates-and-fees/#comment-126922 Does anyone know if all these credit limit decreases and rate hikes have affected introductory 0% balance transfer and 0% purchase offers? I have about 7500 on 0% intro purchase (started sept '09). I don't want to open my bill and see 30% interest on it! Does anyone know if all these credit limit decreases and rate hikes have affected introductory 0% balance transfer and 0% purchase offers?

I have about 7500 on 0% intro purchase (started sept ‘09). I don’t want to open my bill and see 30% interest on it!

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