CC Fees Coming - Even For Good Customers

[NoMoneyDown]

My wife called me yesterday and said they had a segment on the Today show regarding fees banks, etc., will start charging for CC users. The "surprising" aspect is that it's really targeting those people who use CC's frugally. For instance:

* If you pay your CC balance in full each month don't be surprised if your CC issuer starts charging you a fee of between $29-$99. They aren't making any money off of these people, so they "have" to start charging a fee to make money.

* Even if you carry a balance each month CC issuers may impose a fee on you for not carrying a large enough balance of between $29-$99.

* If you don't use your card at all then expect the CC issuer to start charging you an "Inactivity" fee.

It's no surprise that "Bank of America" was one of the issuers mentioned who will start charging these fees.

Link: TODAYshow.com: Matt Lauer, Meredith Vieira, Ann Curry, Al Roker, Natalie Morales - Video, News, Recipes, Health, Pets - Click on "Most Popular Videos". Scroll down to the video "Companis to Impose New Credit Card Fees" (about halfway down).

 

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[EasyMoney_in_NC]

And here I thought they made money by banging those that don't pay it off each month, for 29.99% interest or more?

 

[fast_track_chaz]

Unfortunately I am on a situation where I carry a balance on this boa credit card. I have to suck it up till I can pay it off. I can't wait till it's paid off so I can stop doing business with them.

 

[hatterasguy]

I have one CC left with a credit union so I doubt I'll see those fee's. But if I do I'll get rid of it and just not have a CC. You can use a debt card the same way these days and avoid the fees.

Who says you have to have a CC? I have yet to find a store that wont take cash, checks, or debt cards.

 

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[Jonleehacker]

Who says you have to have a CC? I have yet to find a store that wont take cash, checks, or debt cards.

I tried jamming a wad of cash into the DVD slot last night while making a purchase on Amazon... it didn't go so well.

 

[yveskleinsky]

Yeah, I saw a show on 20/20 last week about this: [ame=http://www.youtube.com/watch?v=jGC1mCS4OVo]YouTube - DEBTORS REVOLT BEGINS NOW![/ame] this lady had a run in with BofA and is now forming a group to revolt.

This treatment by credit card companies is such poor business/loan shark type practice and just sends me thru the roof.

 

[hakrjak]

This has got to be the direct result of the government passing those laws to "protect" us form the evil credit card companies earlier this year!!! They need to make up those lost profits somehow...

The morons who supported that act of Congress are going to reap what they have sewn at this point. That protection you asked for is coming with a price.

Any time the government shows up to "Help" you -- You better grab your wallet, and don't drop the soap.... Let this be a lesson learned to anyone who hasn't picked up on this yet!

- Hakrjak

 

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[BurnBright]

For CC companies to say they do not make money off people that pay off their balance is a scam to me. They charge fairly hefty fees to merchants when a customer buys something with the card. Only way to fight this is to move to the CC that does not charge you the fees which is easy for those with good credit, not so much for those who carry balances or have a less then stellar credit record. I just noticed my CC company slipped in a balance protection fee on my bill which works out to about an 7.5% apr even though I pay it off in full every month. WTF! I stilled called to complain even if it was just a few dollars but I am sure some would not because it is such a low amount.

 

[biophase]

CC companies can do this now because:

1) people can't afford to pay off their balances
2) CC companies aren't issuing new cards so its harder for people to switch
3) Everyone needs a CC now (rental cars, airlines, online shopping, etc...)

If and when this happens it will leave the door open for a new credit card company that will be customer friendly and charge no fees. A no frills CC company that has no points, no annual fees, no rewards, just a simple CC.

 

[hatterasguy]

Their doing this now because when the new rules kick in next year its going to be very hard for them. So the figure they might as well get what they can for now.

I have no problem with my Visa, hardly ever use it. Its amazing how little you do need a CC. If I don't have the cash I don't make the purchase.

Maybe this will wake consumers up to there bad habits.

 

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