They Took Their Hand Out

[Wanderer]

from US and now they're putting it right in my pocket.

I'm behind on my Chase card. Hmmm, how can this be? I have the money auto deducted from my account every month. Oh, wait Chase arbitrarily raised my monthly payment . Now, I've seen that this can be done, in the small print, but in 40 years I've never had this happen before.

 

To make a long story short I get a letter from them (Chase) offering to assist me by and I quote:

 

Reduce your interest rate

 

Reduce your monthly payment

 

Reduce your debt

 

Reduce your worries

 

So naturally I give them a call. All they want to assist with is lightening my already lighter than air wallet. In fact the only help I got so far was immediate cancellation of the Chase card. I'm supposed to call them back with my life and debt history, but I can't see it. I guess I'm in a trick here and don't really know what to do.

 

Thanks for listening.

[Rickstir51]

just do like I did ask what the lowest interest rate they will give you if you "opt out" that way you can pay off the credit card with out canceling and does not give you a bad mark on your credit report. The only bad thing is you can use it anymore unless you renegotiate with them.

[LilBeaver]

Depending on how much you owe and how much of it is due to the accrued interest; if you have the cash it is often possible to negotiate a full payment for much less than what it is owed. The way this works is the total amount of interest that has accrued over time is a huge portion of the amount owed and THAT is the portion that can be negotiated.

 

Don't be afraid to call back and try again with someone else!

 

Good luck!

[Wanderer]

Well, I guess I'll give them another call. It's considerably more than I could cash out. I just think it's funny how they talk like they're going to really help you out, but really have no intent to be helpful at all.

[Wanderer]

And I thought I was a good customer??????????????

[ediddy]

I have one word to describe Chase. They are a bunch of bottom dwelling, scum bag bastards. Oops, thats more than one word. I wouldn't do business with them under any circumstances and they can all go to hell. A few years ago we re financed our house with them. They wouldn't let us pay the taxes and insurance directly, they required us to put the taxes and insurance in escrow so they could pay them. In January we started getting notices that our property taxes hadn't been paid. My wife called Chase and they said they would send a check that day. We got lates notices in February, March, April and May. Each time my wife would call and they would tell her they were mailing a check that day. In June we got a notice that a tax lien had been placed on our property for non payment of the taxes. I called chase and I can't repeat what I said to them but they overnighted a check for the taxes. My wife had a credit card with chase that she had for over 5 years and had never been late with a payment. She gets a notice from chase that because of negative credit info on her credit report they were raising her rate to 23%. Guess what the negative info was? The tax lien that was caused by them not paying our property taxes. I called chase and talked so ugly to them I even felt bad when I hung up the phone. They wouldn't do anything. I even asked them to send me a letter stating that they failed to pay the taxes on time and it wasn't our fault, so I could send the letter to the credit rating agencies. They refused to send a letter or reduce the interest rate. I went on line and found a law firm in Atlanta that specialized in suing credit card companies. The attorney said that if I would send him $350.00 he would file suit in federal court in Atlanta and that chase would have to pay the legal fees. I asked what could be done about the tax lien. He said I could collect a maximum of $1,000 plus the $350.00 filing fee but there was nothing that could be done about the tax lien. Even though the taxes were paid our credit report will show a lien was filed for the next 7 years. The officers of chase should be in prison. I went to the bank and borrowed the money to pay off the credit card and we refinanced with another company. Anyone with chase can go to hell, straight to hell and do not pass go.

[Wolf]

Here is what I do not understand. If the is a natuaral disaster, and the raise prices on gas, food, and water, that is gouging, and illegal. But, if there is a recession, and they raise your rates even though you have never missed a payment, that is just called buisiness. I can't figure that out.

 

BTW, chase did the sdame to me, so I went to my bank and took out their cc, which has a no interest for 12 months on transfers, So i did that and closed Chase. They chased me away.

[LilBeaver]

Well, I guess I'll give them another call. It's considerably more than I could cash out. I just think it's funny how they talk like they're going to really help you out, but really have no intent to be helpful at all.

 

 

Well - if you could do a large portion of what is owed and increase payments or something like that, they may still be able to cut the amount and ya'll can settle on something that can be dealt with over time.

 

Or if you can settle on a lump sum payment it may be worth while to take out a loan (where you KNOW you have a fixed interest rate), pay off the CC and be done with them.

 

Lots of options out there, it may not be easy, but it can be done.

 

Good luck!

[kbran]

Our secretary got one of those from chase. She always paid more than the minumum which was close to $200 a month ( a high balance) and was never late. They upped her minumum to over $700 a month, more than her house note. Had to borrow the money to pay it off. I just showed her this post, cause shes always asking about my chase card, hope they don't do that to me.

[Yammer Dan]

Chase Manhatten had the mortage on my house. Good rate I thought and not bad to deal with. For some unknown reason they decided to sell my mortage. The A**h**les they sold it to I could not get any thing out of. Every time I tried to call them it was a fight. Went and took savings and paid the thing off!! Now I don't have to kiss anybodys butt.

 

 

Well there is the Warden...

[Wanderer]

Chase Manhatten had the mortage on my house. Good rate I thought and not bad to deal with. For some unknown reason they decided to sell my mortage. The A**h**les they sold it to I could not get any thing out of. Every time I tried to call them it was a fight. Went and took savings and paid the thing off!! Now I don't have to kiss anybodys butt.

 

 

Well there is the Warden...

 

Only wish I had some savings. I called them back and after 3 different people I got on the Assist Program. I didn't know it, or had forgot, I was on a 0 interest card and then they jumped the interest to 23.97 percent and increase my payment 150. So I guess I got an opt-out. Card has been cancelled even though I haven't used it in 2 years. Interest is still amazingly high at 19.9. Guess I'll look around and see if I can find or get some type of consolidation loan.

[eazyduzzit]

How can a credit card company raise your payment? I thought what you paid depended on what you had bought that month. I've never had a credit card, so I'll admit I'm not very knowledgeable about them.

[wes0778]

For ediddy

:backinmyday:A call or a visit to the Consumer Protection Division of your states Attorney General's office should be in order.

Edited November 5, 2009 by wes0778

[LilBeaver]

Wes: I am in no way shape or form addressing you directly but I think that there are some implications that have been suggested that I think would be in the best interest of anyone following along or in a similar situation, looking for advice, etc, ought to be aware of.

 

DISCLAMER: Below I will discuss some of the legal legality issues here I am not agreeing, supporting, taking sides, pointing fingers, assigning blame, etc to either the cc companies that participate in the aforementioned behavior nor customers of the companies themselves. I would like to simply address some of the relevant legality factors in a situation like this. Also, I am not affiliated in any way, shape or form with any lending, credit, banking or related institution that by making this statement, will be affected in any way (positively or negatively) by any actions, decisions, thoughts that are a result from any influence that the following statement may have on one’s behavior in any related situation.

 

SO, my intention in the following statement is to be as objective as possible and reserve my opinions for private conversation.

 

If terms are stated, in a contract between two parties, and both parties agree to the terms, then each party is legally obligated to abide by those terms. If either party deviates from the terms of the contract, then and only then would one be able to go to the courts for a resolution. By "the courts" I mean the judicial system, a higher authority including but not limited to the attorneys that specialize in contract law, consumer protection divisions of the attorney general's office, etcetera.

 

In the case of a credit card (CC), the agreement between the CC company and the user is accepted when the user signs the back of their card (which is why CC are not legally valid unless signed by the authorized user).

Thusly if one of the terms in the contract (fine print or big bold letters) was in some form that the "interest rate and/or minimum payments are subject to change as per the discretion of the cc company" or of some form of this statement is made in the terms of the CC user agreement then the CC company, as the issuer of the card, is within the legal confines of the contract then there is nothing that any of the aforementioned attorney or 'legal authorities' (including but not limited to the attorney general's office) can do to 'force' the CC company to reverse their decision on a change that they were legally authorized by the aforementioned contract to do.

 

If there is any deviation from the agreed terms then, and only then can a 'legal authority' step in and mandate that the terms are upheld or the wrongdoing is corrected with any appropriate reparations as necessary.

 

So why go into all of this? I think that it is important to be aware of the limitations of the particular agencies before one would seek for their intervention or advice. The consumer protection division may not be able to step in and attempt to rectify the situation directly but what they certainly CAN (and probably will) do, is assist the individual or business by providing information regarding your rights as party involved with contract and your options in dealing with a particular situation.

 

Also, do not forget in a situation like this, BOTH of the parties involved have leverage. The CC company of course has the ability to change interest rates and adjust 'required' payments as they see fit so long as they are within the confines of the contract. Motivation for doing so can be of many persuasions but bottom line they want the money that is owed to them (at least what they were actually put out by an individual charging something to the CC). The consumer has leverage over the CC company in the fact that they are the ones that controls what the CC company gets paid, if they get paid at all. For example, in an extreme case of someone filing Chapter 7 bankruptcy which can, in some cases, remove all personal liability of the debt owed thereby effectively sticking the CC company with the balance owed to them, thusly they would not get paid.

So, in short, the CC company wants to get some of what they are owed and the consumer would like to be relieved of the debt. This is where the opportunity to open a negotiation ensues. There are many channels to go through to begin this type of negotiation with the CC company and there is no guarantee that they will be willing to negotiate but it is reasonable to attempt that as an option before the situation gets any worse.

 

I would encourage anyone in a situation like this to seek the appropriate and qualified legal and/or financial council that will assist him or her in resolving his or her situation.

 

Now, off for a quick

[RandyR]

Bank of America pulled a similar trick on a friend of mine. She was determined to pay off the card and keep a good credit rating, and everytime she called someone to get an agreement on how to get it paid off, BOA raised the interest rate and minimum payment. They raised the interest from 8% to 33% and the interest was more than she could pay each month.

[Wanderer]

I think you're gonna see a rise in just this kind of behavior because of Obama's plan to put the skids to just this sort of crap.

[flb_78]

I don't use credit cards.

 

Everyone moaned and groaned about the way credit cards companies did business.

 

Congress has written laws to "regulate" the companies.

 

The companies are raising their rates to pay for these new regulations that will be kicking in soon.

 

To quote Dave Ramsey, "Debt is dumb, Cash is King"

[Wanderer]

I don't use credit cards.

 

Everyone moaned and groaned about the way credit cards companies did business.

 

Congress has written laws to "regulate" the companies.

 

The companies are raising their rates to pay for these new regulations that will be kicking in soon.

 

To quote Dave Ramsey, "Debt is dumb, Cash is King"

 

I know you're right. I've been working hard to get out from under these thieves. Always pay more than minimum and never miss a payment. That's why this po'd me so. I still will be debt free in the next four years. If I don't lose my job at the end of this year.

[Brake Pad]

the bank sent me a letter, a few weeks back, now they wont to raise, the interest on my company cards.

 

Time to walk away from this bank.

they lose,

[Sideoftheroad]

Can't say I am not CC debt free either. If I had used most if not all my tax money for the past 2 years and with this upcoming year (providing I get anything back), I would be. Part of our issue is that we use the tax money for things like vacation, auto insurance and other things. Gonna start this upcoming year what I should have done 2 yrs ago.

 

A friend of mine had an issue with Citibank a few years back. He lost his job, he called and all his other debtors understood and were willing to work with him. Citi was not. They said not only do you now owe us the entire balance you owe it in 24-48 hrs or they will sue. Long story short, he felt he had no choice but to file bankruptcy. Now they got nothing. They had to wipe the debt clean. Serves 'em right for not working with him, but better believe they stuck it to someone else for it. Got to recoup the money somehow.

 

Also I am willing to bet part of the issue is you said you hadn't used it in 2 yrs. Bet there is something in the contract about raising interest or payment if you don't use it. They are in the business to keep you in debt.

 

My biggest issue has been with Discover card. Been a long time member. Had a fixed interest and one day I caught they changed it to a variable interest. Called them and at least from what I remember they said they changed it back. Well down they road they put it back on variable again. I know it's bad, but gave up in fighting it. Hoping it will be one of the 1st cards I get paid off and be done w/ them.

[ediddy]

You can go to the State Attorney General and read all the legal language you want to but the bottom line is that the credit card companies are the only companies that can change the terms of the contract anytime they want to. I was watching a senate hearing on cspan regarding the credit card companies. There was a law professor from harvard university that testified that credit card companies were the only companies anywhere in the world that could change the terms of a signed contract at will without giving you notice. She said it was insane and against all legal sense to allow this but in the US it can be done. I was reading an article on MSN where Citi Bank was cancelling credit cards without giving notice. People who had never missed a payment were going to use their card and being embarrassed when it showed their card had been cancelled without any notice. I talked to an attorney in Atlanta a few weeks ago that told me there was a new definition in the credit card industry. If you pay your balance in full each month you are now called a dead beat by the credit card companies. They don't want you paying in full. They want you to carry a balance and go over the limit so they can hit you with a fee and increase your interest rate. The people of the USA need to cancel their cards and tell the companies to stick it. Oh by the way, isn't it interesting that we bailed these companies out but they are showing their thanks by sticking it to us.

[edger]

Oh by the way, isn't it interesting that we bailed these companies out but they are showing their thanks by sticking it to us.

 

This is exactly why they are doing these things. Because of the bailout. They no longer need your money if they consider you a "risk" in any way shape or form, and they are being very discriminative in how they figure that. As stated you can pay it off each month and you are a "risk". Because of the bailout they have deemed almost anyone who doesn't have a certain "income to debt ratio" as risks and what to get rid of them beings this bailout money can cover it. They also don't want the people who pay in full each month as they feel they don't make enough money on them in perportion to the cost of credit they incure ( even though they do get a percent of every sale you pay for with the card ). They want to get their customers dropped down to a very select group and don't care how they do it. The US is way too used to having what they want by easy credit and until we do exactly as stated prior, stop using credit cards, this will not go away. Now, try to live without a credit card, in some cases you can, but most of us can't. Try to make a hotel reservation, buy a plane ticket, or too mumerous to mention other things without a credit card, you can't. For some people these things are not needed, but for most of us, our jobs or situations in life require we do these things so well, theres the rock and hard place scenario. What do you do. What needed to happen was no bail out. Thats where the mistake was made. The money was just pure and simply put in the wrong hands, now we all pay for it "again".

[camos]

I've never felt like a deadbeat but since I pay my CC off every month that must make me one. My one and only CC is used for every transaction during the month except for the odd place that does not accept CC's then my debit card is used. It costs $12 per year for the privilege of having the CC (Visa) but but with a certain amount (fairly low) of usage $1 per month is rebated so for me it is essentially free. How good is using the CC company's money for a month for free? Not such a big thing these days but back in the 80's when bank interest rates were 21% the return was significant.

 

I know several people who have built up their CC debt to the point all they can afford to pay is the interest with a marginal amount going on the monthly purchases so they essentially have no credit but still have a huge debt. How silly is that.

 

If one gets into a plugged CC pickle, other than declaring bankruptcy, it's best to get a loan from your bank if you have any equity. Pay off the CC and either cut it up or start using it properly. It is unlikely the CC company will object too much to getting paid off monthly if the card is used frequently as they make 3% on all transactions.

 

CC debt is the real darkside.

[pegscraper]

I don't use credit cards.

 

To quote Dave Ramsey, "Debt is dumb, Cash is King"

 

 

That's absolutely right. The best thing to do with credit cards is pay them off, get rid of them and close the accounts. Be a slave (indebted) to no one. Pay cash or do without. We don't use cards either.

[Sideoftheroad]

And who wanted the bailout to go to corporate america? Wonder what he got in return?