We have been aggressively paying down balances and negotiating interest terms with our CC companies.  We've managed to pay one off and are within striking distance on JC Penney and a gas card.

This week we have gotten notices from 2 companies that our interest rates are going back up!  Not because of anything WE did, but because of "the econiomic downturn".

That just plain sucks!  How do these places think the "economic downturn" affected us?  Shouldn't they be LOWERING the rate in hard times instead of RAISING it?

What doo-whiddles!  I can guarantee that I will down-talk these two companies to EVERYONE!!!

So don't do business with First National Bank of Omaha.  Or Capital One.

re-tired

 I cannot even begin to tell you how many people I've heard say the same thing about just about every cc company.  It is not just your 2 (although Capital One seems to be the #1 on everyones list).

We are working on paying ours off too and are coming across the same issue...

Honestly, sounds horrible, by I try to just ignore it. There isn't much I can do about it so no use letting it stress me out. LOL.

I go back to work April 9th (on maternity leave without pay right now). Once I so, we'll be using my check simply for paying off debt and not much else. I look forward to paying off some bigger chunks at a time and making more head-way.

Have a blessed day,

Julie

 Once you get it behind you, it will feel really good, like getting over a bad disease and vowing never to get sick again. Edey

This happened to us several years ago.  We just got a new "no interest for 6 months" card and rolled the other cards onto it and paid it all off within the six months.  That'll teach them to raise rates on my cards, lol.   They sent letters after that begging us to come back and promising lower rates.  Those  "please come back" offers do real well keeping the weeds out of my flower garden since I put them out there under the mulch  :)

 I haven't had htis experience, since I have no plastic. But it seems to me that this industry should be regulated by government, as should insurance and Big Pharma. It is indeed unfair to raise interest rates just when people are having more difficulty getting along.

I'd write a Letter to The Editor in my newspaper.

I keep getting my regular statements in the mail but they say "Even though you have a zero balance, we want to remind you that you have $XX,XXX available in credit when you need it."

Credit card companies just don't get it.  I realize they are in the market to make money, but I would do the old "Mr. Mom" advertising thing and say to my customers "We realize how hard you have been hit during these trying economic times so therefore we are rolling back our interest rates 1 percentage point - when the economy gets rolling again, we will re-institute our standard rate" or something along that line - it would be incredibly popular, build customer loyalty and attract new customers.

I just got a similar notice today from Bank of America.  They are increasing our rates.  They don't cite economic downturn as they reason; their reason is a change in their overall business practices.  Grrrr . . .

Interestingly, Capital One has actually lowered our rate in the past 6 months.  Seems there is no rhyme or reason!

I just want to be out of debt.  Got a long road ahead of me but letters like that are VERY motivating!  Bank of America just jumped to the top of my pay off and get rid of forever list.

That is the way the credit card companies seem to work.  They are so nice and helpful to get you a card but when times are tough they care less.  And thats ok with me.  We cut up our cards and haven't used them in 3-4 years.  I'd rather keep my money in my pocket than to keep those executives rolling in cash.  Thats all we are doing when we use credit cards and have a balance, keeping them in the high life when the rest are struggling. Can't win at their game, unless you refuse to play.

 As Dave Ramsey says: "If you swim with the sharks you WILL get bitten."