Despite receiving $3.56 billion from the TARP bailout, Capital One (along with many other credit card companies) is raising interest rates, which is strange since the Federal Reserve has been consistently cutting them.
Who would’ve guessed that a company which uses Vikings in their commercials would rob its customers?
Now normally I wouldn’t care but as this has affected me, I’m outraged! I received a ‘change in terms’ notice today, which read:
Due to extraordinary changes in the economic environment, we’re reviewing our existing credit card accounts. Having consider these economic conditions, your account’s current Purchase rate, and the length of time you’ve had this rate and account, we will be raising your Purchase rate. We’re also raising your Cash Advance rates.
First of all, I love how they threw in that last sentence instead of just saying we’re raising your ‘Purchase & Cash Advance rates.’ It just sounds so much more dicky that way.
So what’s the damage?
My Purchase rate nearly tripled, from 6.85% to 15.9%. And the Cash Advance rate went from 16.94% to 21.65%. Luckily, it doesn’t really affect me as I pay my bill in full every month, but it’s the principal of it. I’ve been with Capital One over 10 years with no late payments. So I called them up and got it back down (for the next 10 months). The supervisor I spoke with said hopefully the economy will be better by then and that the rate will come back down. Yeah, just like airline rates came back down with the price of gas.
“What’s in your wallet?”