We’re getting complaints that Capital One has raised interest rates across the board for its customers. One reader says his wife’s rate went from 9.9% fixed to a variable rate, making it about 15%.
“She called customer service, and after getting a “It’s a business decision that was a reflection of current economic conditions”, she finally got a manager who said that she had been getting these calls all day.”
Another reader says he got a white envelope from Capital One:
“Opening it up, I learned that Capital One has decided to increase APRs on purchases (and some other fees like on cash advances). The other fees I was not concerned with, but my APR is apparently jumping from the 4.99% I have been enjoying to an outrageous (in my mind) variable rate currently at 13.99%!!! This change is scheduled to occur on my September 2007 billing cycle. Now, I am still not carrying a balance at this point, but that kind of jump is ridiculous.”
Remember to open strange white envelopes from your credit card company! We know that some of you toss them right into the shredder.
This one you should open so you can see what magical new rate Capital One has in store for you.
If you do decide to switch to another card, leave your old one open if you can. The length of your credit history is an important factor in your credit score.