You might be thinking…I have no enemies! Well, Mr. Webster says, ‘enemy=something harmful’. As a result of bank’s tactics regarding their credit cards; emotional, mental stress, financial loss, and family feuds in my book are harmful.
The media shares with us the banks will suffer a total of $82 BILLION in credit card losses through next year alone even though they are charging on average APR 26.87% to 32.99% ! So needless to say, they are burning the midnight oils in efforts to come up with creative new methods to separate you from your money while of course limiting their risk.
The new legislation is the first of it’s kind in years and the banks will respond by charging you more and giving you less. Knowing unemployment was climbing, and the people’s money becoming tighter, why didn’t the banks create a mutually beneficial plan.
A plan of logic. Instead, to cover their losses from the mortgage frauds they chose to raise interest rates and charge more fees, and play “got-cha’ games. I always heard, “You cannot get blood out of a turnip ! and another, Something is better than nothing!’ Apparently the banking world never heard of those old time sayings.
The new law covers old debt, however it doesn’t stop them from hiking rates on new purchases. Or zapping credit lines, and pulling benefit offers. After all, they can simply get up in the morning and create all new rules to the game because the banks rule…period.
Sign up for online alerts to avoid the double whammy of fees plus penalty rates. You will get a email or text message alert notifying you when your bill is due and what minimum is owed.
As of this month, August, 2009, statements must be mailed 21 days BEFORE the bill is due. Previously it was 14 days. Also credit card issuers have to give a 45 days notice (instead of the old 15 days) before increasing interest rates and fees. Of course, don’t hold your breath on this because few people got even the 15 day notice.
There are more changes coming in February 2010, and again in August 2010. Don’t get warm and fuzzy feelings and lay back all secure, it is still up to you to protect yourself. Stay knowledgeable, watch your credit card statements VERY close. And work with a trained credit risk assessment planner at Spectrum Resources to lead you through this mine field.
Call Spectrum Resources @ (863) 967-0660
or email: SpectrumResources@tampabay.rr.com and visit all our blogs for lessons on how to live inside your income: http://FinancialEducationAndOptions.blogspot.com and http://MoneySavingTips.PolkVoice.com and http://SpectrumResources.wordpress.com
All tax exempt donations to help us help others through our financial literacy program is appreciated and can be mailed to: SRDC 2014 Brentwood Dr. Auburndale, FL 33823