missed 2 student loan payments & credit cards raised my rate from 0% to 26% bc of it

[PrncsNYC]

I missed 2 student loan payments bc I had no way of paying. Well, seems my 2 credit card companies pulled my credit report and saw that I missed the 2 payments and the one raised my rate from 16% to 23% and the other raised my interest rate from 0% to 26%!!!

The first one that went to 23% from 16% didn't really bother me bc I never use it but the other one? I use that..10K at 26%

I have been in tears over it. I was charged $200.00 in interest for the 26% card. I had no idea that they could do that. I am told it was in the fine print. Of course it was. Like anyone ever reads all of that. I hate this. I have never missed or been late with a payment to either company in the 6 years I have had them. This is how I am treated?

I am so angry...I just feel like it's not even worth it to bother. I worked so hard to rebuild my credit after college...it was so perfect and then I missed the student loan payments bc of this stupid back injury. I have no job and in order to get a deferment from the student loan company, I had to prove that I don't have any income. Well, without workers comp or unemployment checks, it's hard to prove that. So I couldn't pay it and I couldn't prove the reason why.

Anyway, I'm just feeling like a total failure for ruining my credit.
:(

[justinenycole26]

Yup, it happens. You can have a perfect payment history with them, miss a payment on something else and they jack your interest rate. Sucks, but they do it all the time.

[MsLynn]

can you get a new card and transfer the balance, that would show them. or call them and completely close the account and let them know that you won't ever use a card from them again and will be telling your family/friends how they do business

[DivineMsDi]

that they did that after you have paid mostly on time. I say try to talk to someone in their customer service dept. My husband and I always try to pay on time, but if you slip up once, they should not fine you.

You can call their customer service dept and complain! If that doesn't work, then get rid of the card and get another one.

If you have trouble with school loans, you can get them deferred.(spelling?). I have done that a few times when money was tight. You have a chance to catch up on your payments after a few months.

Good luck.

[MelanieAnn]

That is F-ed up! I could understand maybe if you were late with the actual credit card payment, but geez. Which companies did this?

I would definately do a balance transfer if possible. I don't know, did you talk to a manager when you called in? Maybe someone higher up could help.

Good luck, (((HUGS)))

[schsa]

Call. Doing a credit card balance transfer can also damage your credit. Every time someone pulls your credit report, you credit rating drops. Make a call and negotiate the rate back down where it should be. They shouldn't penalize you for this.

[Urban Cowgirl]

but most cc adjust your interest rate by your credit report. Your best bet would be to call them and try to get them to lower the rate. CC are bad news..they can be great when you are in a bind but there is A LOT of fine print that people really should read. If you have been good about paying them point that out. I would also point out that if you cannot afford to pay them because of the interest rate. Good Luck with the whole thing. I know how you feel I am O/C when it comes to money,.... I literally constantly have figures running through my head.

[MsLynn]

after i got divorced and filed bankruptcy since neither of us could handle the bills on our own. and we had a couple credit cards, but i found out he had 3 gold cards i knew nothing about and they were maxed out. over $30.000 in debt i knew nothing about, so i will NEVER have another one, other than a debit card. never never never

[aneisu]

I think they can do that & if they were able to getting a lower interest rate card might be impossible now. Try talking them into a lower rate, if that doesn't work wait for a year after the last missed payment and I think if you ask they'll drop the rate back down.

[lassss]

I hate to say this but welcome to the real world...good credit is EVERYTHING....after I got divorced and my ex agreed to pay the cc...all he had to do was pay $81/month..but noooooo his partying was more important and he let the house go up for foreclosure...so My credit is ruined...I had to get 2 car loans to cover one car..one of those at 29% interest...get those paid asap or it only gets worse..take it from someone who knows..good luck

[PrncsNYC]

Thanks everyone

Yeah, I know all about credit and I have been in the real world for quite some time now.

I mentioned in my first post that I had ruined my credit in college. Had 11 cards all maxed out worked really hard and paid them all off 11k in 1 year.

I had just gotten my credit score up to 790. I wasn't using the cards for anything other than bills. I literally have no income and was paying my rent with one of the cards. I wouldn't have been doing that if I had any other choice. It's not like I was going out and buying clothes or make up or anything that I didn't need.

I will call and try to talk to someone else but he person yesterday didn't give a rat's behind about the 6 years of perfect on time payments.

I don't want to do a BT and even if I did, I doubt that my credit score would get me one you know?

Melanieann, that is what I thought. I would totally understand if I missed payments with them but it's like, I have 3 friends and I only had 2 movie tickets to give away. So the 2 friends who did, get angry with me for not having a 3rd for the other friend so they stop talking to me. I know that is a silly analogy but that is what it's like. The 2 friends should be happy that they got the tickets and mind their own biz about the other friend.

Ugh. I mean I get it, they can screw me however they want, I'm just saying that it sucks.

By the way, it was the GM card that riased from 16 to 23 and the Chase platinum that raised from 0 to 26

[MelanieAnn]

You mentioned your score *was* at 790 at one point, is it still in that range? I have inquiries up to wazoo and my score is 713, just got approved for a $4,000 line through CitiBank and I did a BT for 0% for 6 months, then it is 14% APR. (Good considering the APR on the other card was 26%.)

I don't know what else to tell you, I would just keep calling until you get to someone that gives a cr-p. I will definately not bank with those two companies now that I know about your issues. Tell them that, too! LOL, not that they'll really care.

I really hope you get it fixed! You don't deserve to be screwed. Just try not to think about it this weekend and try to R-E-L-A-X! ;)

[Kelsey1224]

My other suggestion...call the company who is handling the student loans. They may work with you.

[PrncsNYC]

Thank Melanie Ann! ;)

Kelsey, I already tried to work with them. I was told unless I could provide proof that I don't have a job, that there was noting they could do. Totally frustrating. :/

[laughsalot]

I am so sorry!

[guesswho!]

Just called Chase cple days ago about my 16% rate...they told me NO there were NO other offers available, b/c it's a reward card...then I said I would just need to CANCEL the card & they transfered me to a supervisor who immediately lowered it to 8.9% & was went into effect immediately. She told me they always prefer to work with the their customers vs. having them cancel. So definately call them! They've also been great about refunding late fees!

Another tip: if you've returned, or canceled anything you've paid interest on w/Chase, call them. You give them the amts.of the returned items & they refigure the interest...& credit it back to your acct, it helps...esp w/interest so high.

BTW, was the 0 to 26 w/Chase a intro offer, or a BT? I've been late on their 0% BT's & they changed the rate, but once I called, they reinstated the 0% rate. The key is keep calling...eventually you'll get someone who cooperate.

As far as GM, I've heard they're tougher, but u never know! Try calling them as well. The reward cards do have higher rates, but try telling them you'll just cancel the card, ccause the rate isn't competitive w/other cards & you'll most likely get results.

[Quaker_Parrots]

Anyway you could get your tax record for the last few months from the IRS as proof you haven't been working? Worth a shot. Also, Did you file taxes? how long has it been since you worked? Are you drawing unemployment? or any other subsidy?(food stamps, ect) Could you use them as proof?

[AngelGrim]

sometimes I think credit card companies are really rude, they see your not making payments on something else so they raise your payment, like DUH how does that make sense, hope you get to feeling better

[PrncsNYC]

Well, the situation just keeps getting worse and worse.

The other 2 cards were bad but now I am speechless. The car I use for all my purchases (airline miles Chase Continental MasterCard) has upped the rate to 25.99% as well.

This really hurts bc the other chase card was new...this one is 3 and a half years old.

I called them like some of you suggested and they said 100% answer is no. That cannot do a damned thing to lower my rate unless I have proof that my loan payments status was wrong.

I said, do you realize that I had a choice of paying my student loans and paying you, and I chose you and now I am being punished for it? I was in tears. After all this her only comment for me is she's "sorry" and to "have a good night."

Trust me, I'd love to get a different card and do a BT but who is going to give me one with this "serious delinquency" on my record. 3 months missed payment on a student loan can ruin your financial lfe. You have all been warned.

:(

[guesswho!]

Since all your rates are so high, you need to consolidate all the balances onto the lowest rate card you have. Which card is currently charging the lowest interest rate? Call that card & see about a consolidation BT. You will have BT fees, but at least the interest will be lower.

Citibank offers BT's with no fees, but you do pay inetrest. They'll BT $ directly into your chkg acct., but again you do pay interest. For your credit rpt you need to get as many cards as poss paid off. It may be worth it to have $ deposited into your chkg & then pay off what you can, b/c then the cards won't trace the money to BT chks, since it would be from chkg.

Just some ideas for ya. Feel free to PM me. There are sev sites that offer really good advice from others who've been in ur shoes.

[wichlaz]

Thank Melanie Ann! ;)

Kelsey, I already tried to work with them. I was told unless I could provide proof that I don't have a job, that there was noting they could do. Totally frustrating. :/

Can you get a note from your previous employer? Or if you register with the unemployment office to get help finding a job they can give you proof of unemployment.


-Heather