For years personal finance experts have been telling consumers to watch out — that there was “no such thing” as a “fixed rate” credit card — the bank can raise your interest rate whenever it wants as long as it gives you a little notice. You don’t have to miss a payment. You don’t have to do anything “wrong.” Now some consumers are learning the hard way.
Take reader Kevin for example. The interest rate on his Bank of America credit card just doubled.
My interest rate doubled from 7.99% to 16.49% and my minimum payment increased from 1.5% to 2.5%. When I asked a rather rude customer service representative about this, she didn’t have an answer for why they’re doing this. I have never missed a single payment of any type in my life and I have good credit.
According to CNN, Bank of America received $15 billion in bailout money and they’re turning around and sticking it to struggling consumers such as myself. I don’t mind the higher minimum payment, but the interest rate increase is wrong and unfair. I hope you can help make this public so people know what’s going on.
Sure thing, Kevin.