Credit card legislation
Pay your fair share by paying an annual fee? NO WAY.
I admit, I carry a balance, but I don’t like this line of argument at all. Why should someone pay an annual fee because some other dum-dum can’t pay their bills ontime?
Sorry, but that’s crap.
Credit card companies make money EVERYWHERE. They make it in annual fees. They make it in interest on card balances. They make it on EVERY TRANSACTION. Even if you are paying the bill in full, as long as you generate transactions, they make money.
POOH on paying an annual fee.
There’s only one card I pay a fee on, that’s my AMEX. Guess what? They have a grace period on late payments. You used to be able to tell them that you put your check in the mail and there was no penalty. (I haven’t used this feature in years so I don’t know if it still exists.)
You can search out no annual fee credit cards at places like Interest.com.
DISCLOSURE: Interest.com is the exclusive ad sponsor of this blog. And no, they didn’t ask me to write this. I wrote it myself because this is an incredibly stupid, non-free-market notion. Geez. Might as well tax me to bail out financial institutions. Oh wait. They already did that. Harumph.
Msminiducky wrote:
Oh now that is COMPLETE bull. Nonrevolvers have to pay to use their cards that the credit card companies already receive merchants’ fees on? As if they’re not already making hand over fist on $40 late fees on top of two-cycle interest billing, etc. etc.? We’re supposed to feel BAD for them because they’re not making enough money off the financially-unsavvy or desperate? THEY’RE victims? Grrrrr….
I have a feeling that Citi has been feeling this out for some time now because I’ve seen a $0 charge on my statements each month for an “annual membership fee” that doesn’t exist. Yet. I will definitely be cutting up and cancelling any cards from any company that decides to rake their customers over the coals yet again. Anyone else?
Posted on 30-Jan-07 at 5:06 pm | Permalink
Mission Debt Freedom wrote:
Here’s a plan…payoff the stupid things and cut them up! I’m getting rid of mine one at a time for this very reason. I used to work for a credit card company (processor) and I can tell you that a large majority of their time and budget is spent dreaming up ways to bring in addition revenues. Fee hikes, bait and switches, universal defaults…they are all just a way to screw the customer for more money.
Posted on 30-Jan-07 at 8:57 pm | Permalink
dimes wrote:
That is bull hockey. Why…?
Is there even any incentive to play by the rules anymore? It seems like every time you turn around, if you’re doing the right thing, you get punished.
If my card starts charging me an annual fee, I’ll look for one that doesn’t.
Posted on 31-Jan-07 at 11:45 am | Permalink
bluntmoney wrote:
I can’t believe that someone actually suggested that with a straight face. It’s ridiculous.
Maybe credit card companies should pay merchants a monthly dividend instead for giving them access to people that use credit cards.
Posted on 31-Jan-07 at 6:08 pm | Permalink
moominoid wrote:
All cards used to have them but now none I have do… how could someone call themselves a “consumer advocate” and suggest this!
Posted on 31-Jan-07 at 10:36 pm | Permalink