Changing interest: Credit card firms pummel consumers

the credit card companies are doing everything they can to rake in big bucks. OK, so that is capitalism at its' best but the idea of penalizing loyal customers in good standing by raising interest rates and cutting credit limits is truly frustrating. This article shows one thing very clearly, there is no "big bank/big business" respect for American working-class people. I for one am seeking alternatives to traditional credit and also will begin speaking to the lenders in the area to see which ones really want to work with area families. Shop local, borrow local and build a local economy.

another voice heard from wrote:

the credit card companies are doing everything they can to rake in big bucks. OK, so that is capitalism at its' best but the idea of penalizing loyal customers in good standing by raising interest rates and cutting credit limits is truly frustrating. This article shows one thing very clearly, there is no "big bank/big business" respect for American working-class people. I for one am seeking alternatives to traditional credit and also will begin speaking to the lenders in the area to see which ones really want to work with area families. Shop local, borrow local and build a local economy.

Excellent advice~!

It isn't well known until it strikes home but these same crooked bankers paid your congressman to change the bankruptcy laws to favor the credit card companies.Now the term unsecured loan is rendered a sick joke because they can take anything you own with a value of $200 or more and if your car is worth more than $500 (whose isn't ?) they can grab it or force you to buy it back from the bankruptcy administrator.If your home isn't in the homestead act for two years before fileing these pigs can grab your house.
I just spent $4000 to go broke and have to buy back my already paid for car for an additional $7000 so in short it cost me $11,000 to go broke.My lawyer told me I am not broke just unable to repay the $109,000 in debt that I had to cards and two loans.When you file for bankruptcy protection you of course stop paying the leaches and they hit you with massive fees and interest even though they will not see mush of it and the reason is they can write off the total as a tax loss.So what they are doing is screwing you and the government out of tax money. My initial debt was $69,000 and these greedy pigs managed to crank it up to $109,000.
The month before my business went sour I paid one card $1000 and then I was late the following month and the rates skyrocketed.I called and asked nicely for them to put the rates back as they were and they refused so I stopped being polite and told them either do it or I file for bankruptcy protection.They didn't and I did.This was a chapter 7. Don't be conned by companies who will get you a lower rate. it is a giant scam.You pay them and the credit card company and also income tax on any forgiven debt by the credit card company. Bankruptcy does not force tax payment on forgiven debt.All I have to say is going broke wasn't such a bad thing aside from having to pay out $11,000. I already have two new credit cards and can get a home equity loan to buy any new car. My card rates are high but no higher than most other people now days. I hate these b_astards and know well that most people will not come out of a bankruptcy as well as I did.Remember in the last twenty years the banks folded twice and the taxpayer bailed them out and no one ever went to jail. I wonder if these bankers had to buy back their already paid for car when the tax payers bailed them out????

Go For Broke wrote:

It isn't well known until it strikes home but these same crooked bankers paid your congressman to change the bankruptcy laws to favor the credit card companies.Now the term unsecured loan is rendered a sick joke because they can take anything you own with a value of $200 or more and if your car is worth more than $500 (whose isn't ?) they can grab it or force you to buy it back from the bankruptcy administrator.If your home isn't in the homestead act for two years before fileing these pigs can grab your house.
I just spent $4000 to go broke and have to buy back my already paid for car for an additional $7000 so in short it cost me $11,000 to go broke.My lawyer told me I am not broke just unable to repay the $109,000 in debt that I had to cards and two loans.When you file for bankruptcy protection you of course stop paying the leaches and they hit you with massive fees and interest even though they will not see mush of it and the reason is they can write off the total as a tax loss.So what they are doing is screwing you and the government out of tax money. My initial debt was $69,000 and these greedy pigs managed to crank it up to $109,000.
The month before my business went sour I paid one card $1000 and then I was late the following month and the rates skyrocketed.I called and asked nicely for them to put the rates back as they were and they refused so I stopped being polite and told them either do it or I file for bankruptcy protection.They didn't and I did.This was a chapter 7. Don't be conned by companies who will get you a lower rate. it is a giant scam.You pay them and the credit card company and also income tax on any forgiven debt by the credit card company. Bankruptcy does not force tax payment on forgiven debt.All I have to say is going broke wasn't such a bad thing aside from having to pay out $11,000. I already have two new credit cards and can get a home equity loan to buy any new car. My card rates are high but no higher than most other people now days. I hate these b_astards and know well that most people will not come out of a bankruptcy as well as I did.Remember in the last twenty years the banks folded twice and the taxpayer bailed them out and no one ever went to jail. I wonder if these bankers had to buy back their already paid for car when the tax payers bailed them out????

Somebody got up on the wrong side of the balance sheet today....

You agreed to their terms, you took their money, you didn't honor your agreement (paid late), they took action based on the agreement (raised your rate), and then you threatened them with "if you don't lower the rate, I'll declare bankruptcy and YOU'LL GET NOTHING".

Now you are complaining that, even though you declared bankruptcy like you threatened, they still want their money, plus all the penalties associated.

Protip: Don't borrow money if you can't pay it back.

PS: I know that things can go wrong and people can get on the wrong side of creditors, but just remember that nobody forced the money and terms on you. In the end, you've only yourself to blame...

SubLiterate wrote:

<quoted text>
Somebody got up on the wrong side of the balance sheet today....
You agreed to their terms, you took their money, you didn't honor your agreement (paid late), they took action based on the agreement (raised your rate), and then you threatened them with "if you don't lower the rate, I'll declare bankruptcy and YOU'LL GET NOTHING".
Now you are complaining that, even though you declared bankruptcy like you threatened, they still want their money, plus all the penalties associated.
Protip: Don't borrow money if you can't pay it back.
PS: I know that things can go wrong and people can get on the wrong side of creditors, but just remember that nobody forced the money and terms on you. In the end, you've only yourself to blame...

Let me tell you something.Most bankruptcy in this country is from people being ill and not being able to pay the bills.These b_astards are allowed to change the interest rate and terms to now nearly 30%. How would you like it if they could do that with your mortgage? Twice in twenty years these swine were bailed out by my tax money and yet no one goes to jail and they have the nerve to give massive bonuses to the same people that ran the bank into the ground.If that doesn't bother you then I don't know what more to say.In my case a long term business had sales drop 70% over night and I detected this economy we are now in six months before the government admitted the problem.They only got $7000 from me and I will not lose sleep over it.

Go Forr Broke wrote:

<quoted text>
Let me tell you something.Most bankruptcy in this country is from people being ill and not being able to pay the bills.These b_astards are allowed to change the interest rate and terms to now nearly 30%. How would you like it if they could do that with your mortgage? Twice in twenty years these swine were bailed out by my tax money and yet no one goes to jail and they have the nerve to give massive bonuses to the same people that ran the bank into the ground.If that doesn't bother you then I don't know what more to say.In my case a long term business had sales drop 70% over night and I detected this economy we are now in six months before the government admitted the problem.They only got $7000 from me and I will not lose sleep over it.

They can't do that to my mortgage. Know how I know that? Because I read the terms carefully before I signed it. Your situation is unfortunate, especially if it's no fault of your own, but I just can't abide by this populist, "shoot the bankers because they done me wrong" attitude. Maybe if people weren't constantly defaulting on their debts and filing for bankruptcy, the card issuers wouldn't need to crank up their penalty interest rates to keep people in line.

I beleive Greylock credit union will be of help..

another voice heard from wrote:

the credit card companies are doing everything they can to rake in big bucks. OK, so that is capitalism at its' best but the idea of penalizing loyal customers in good standing by raising interest rates and cutting credit limits is truly frustrating. This article shows one thing very clearly, there is no "big bank/big business" respect for American working-class people. I for one am seeking alternatives to traditional credit and also will begin speaking to the lenders in the area to see which ones really want to work with area families. Shop local, borrow local and build a local economy.

I agree, people can't wait to own big tv's new camera's i- pods etc. They want it and want it now. than bitch they can't pay for it and their credit gets trashed. Save money and than buy what you want, not need! And if they go bankrupt i think they should loose all items they bought and they should be sold and money goes to pay their debt. Our parents and grandparents lived that way, not on credit they paid cash.

SubLiterate wrote:

<quoted text>
They can't do that to my mortgage. Know how I know that? Because I read the terms carefully before I signed it. Your situation is unfortunate, especially if it's no fault of your own, but I just can't abide by this populist, "shoot the bankers because they done me wrong" attitude. Maybe if people weren't constantly defaulting on their debts and filing for bankruptcy, the card issuers wouldn't need to crank up their penalty interest rates to keep people in line.

SubLiterate wrote:

<quoted text>
They can't do that to my mortgage. Know how I know that? Because I read the terms carefully before I signed it. Your situation is unfortunate, especially if it's no fault of your own, but I just can't abide by this populist, "shoot the bankers because they done me wrong" attitude. Maybe if people weren't constantly defaulting on their debts and filing for bankruptcy, the card issuers wouldn't need to crank up their penalty interest rates to keep people in line.

I used cards to finance my business and when sales went south I filed. The point no one seem to get here is that these damn banks and their congressional lobby paid your congress to double cross you.If they don't like people going bankrupt and stiffing them then they shouldn't give money so freely.As for not having them put a lein on your house you are only fooling yourself and if you are not in the homstead act they can and will go after you. Also doesn't it sink in to anyone that large corporations now control congress and why are they not required to pay back money they get for being bailed out twice in twenty years. My point here is to warn Joe Normal Guy. I have a good lawyer and still had a positive cash flow when I filed for bankruptcy protection. Note "protection" Joe Average Guy won't be so lucky.These arev unsecured loans and they should stay that way. Thank the traitors in congress and the lobbies for shy high electric, telephone and cable T.V. too because they paid congress to deregulate them.

SubLiterate wrote:

<quoted text>
Somebody got up on the wrong side of the balance sheet today....
You agreed to their terms, you took their money, you didn't honor your agreement (paid late), they took action based on the agreement (raised your rate), and then you threatened them with "if you don't lower the rate, I'll declare bankruptcy and YOU'LL GET NOTHING".
Now you are complaining that, even though you declared bankruptcy like you threatened, they still want their money, plus all the penalties associated.
Protip: Don't borrow money if you can't pay it back.
PS: I know that things can go wrong and people can get on the wrong side of creditors, but just remember that nobody forced the money and terms on you. In the end, you've only yourself to blame...

Nobody force terms on you????Do you ever listen to the news or read your monthly statement? A lot of these cards are being cranked up to 30% before the news laws come in.

I'm sympathetic. A failing business and a divorce has left me in a huge financial hole. I try hard to work with credit card companies, and absolutely accept the problem as one I created, but what I am finding is that the interest rates, which go up at the companies discretion and various penalties are making it impossible for me to ever pay them back. If they were willing to work with me and charge me a reasonable interest rate, I would avoid bankruptcy and pay them back. Instead, it looks like I will be using the last of my savings to hire a really good bankruptcy lawyer and walk away from the debt. My house is protected by the Homestead Act and my retirement accounts are protected by law, so going down this road will not hurt me too bad. Is it the right thing to do -- debatable. But, it is legal, just as the CC companies charging outlandish fees and astronomical interest rates is legal.
It's kind of a big, sick game -- each side works the law tom their best interest and what is right is not always the same as what is legal.