Yep, your credit card company is trying to jack up your interest rates when your not looking:
Even after the Federal Reserve reduced their borrowing costs, the nation’s banks raised credit card rates and boosted profit from the consumer debt in the first half of 2009, according to a consumer advocacy group.
The Pew Safe Credit Cards Project said Monday the median lowest advertised credit card rate rose to 11.99% in July from 9.99% in December. At the same time, the group said, the profit banks made on credit card debt rose 46%.
The group, which says on its Web site that it seeks to “protect customers from unfair credit card practices,” said its figures are based on a survey of nearly 400 credit card issuers. The full results of the survey are scheduled to be published next month.
To make a long story short, remember that as a consumer, you have the right to negotiate your rates. If it is too high, ask them to lower it for you, if they decline, keep asking for the next person up until you see results. Be personable and friendly and nine times out of ten you will get your desired results. Don’t be a fool in 2009, read the fine print and make sure you pay at least the minimum balance every month. Good luck.
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This week marked the 40th bank to go under, which means the recession is really far from over:
NEW YORK (CNNMoney.com) — Regional banks in North Carolina, Kansas and Georgia were closed by state regulators Friday, bringing the total number of failed banks this year to 40, the Federal Deposit Insurance Corporation said.
The 24 branches of Wilmington, N.C.-based Cooperative Bank will reopen Monday as branches of First Bank, which is based in Troy, N.C.
Cooperative bank had assets of $970 million and total deposits of approximately $774 million. First Bank will assume all of the failed bank’s deposits and agreed to purchase $942 million of its assets.
In Kansas, First National Bank of Anthony, which operated 6 branches – including two under the name of First National Bank of Johnson County – will be taken over by Bank of Kansas.
Bank of Kansas, which is based in South Hutchinson, acquired all of First National Bank of Anthony’s $156.9 million deposits. It also purchased the bulk of the failed bank’s $156.9 million worth of assets.
The FDIC will only insure money up to $100,000, so if your life’s worth is in one of these banks, let me suggest a more secure way to hold on to your money. Go to the nearest mattress and cuts a line through the side. Obtain a crown royal bag (or several for my big ballers) and then stuff money and assets in the bag and then fold them neatly in the mattress. Keep all flammable materials away (as well as children). Ta-Da!!!!
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