Posted on: 15th Oct, 2008 07:03 am
Mortgage Meltdown To Hit Credit Card Users
http://redtape.msnbc.com/2008/10/how-credit-card.html
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http://redtape.msnbc.com/2008/10/how-credit-card.html
[System detected duplicate content; converted into image. Thanks.]
Consumers should expect credit card issuers to behave like wounded animals in the upcoming months. Given the desperate state of some issuers, consumers should be even more vigilant than usual. Notices of credit limit adjustments or interest rate hikes can be easy to miss.
"They can look like a piece of junk mail,†Hardekopf said. “But if (banks) lower your credit limit and you don't notice, you can blow by it," he said. He urged consumers "not to do anything to raise your credit risk or (lower) your credit score," as card issuers will be looking for any excuse to raise rates. :shock: :x :evil:
What exactly do they mean by "don't do anything to raise your credit risk"? I pay my cards twice a month. My due date is the 10th and my statement closes on the 15th. I pay the minimum payment on the 1st and then pay the entire balance or 90% of the balance by the 13th.
I'll have to see what would be considered a risky maneuver other than over shopping. I try to never use more than 15 - 30% of my credit limit on one card. So that may be one "risky" thing, consistently getting close to your credit limit?
Thanks a bunch banks, like we don't have enough problems! :evil:
"They can look like a piece of junk mail,†Hardekopf said. “But if (banks) lower your credit limit and you don't notice, you can blow by it," he said. He urged consumers "not to do anything to raise your credit risk or (lower) your credit score," as card issuers will be looking for any excuse to raise rates. :shock: :x :evil:
What exactly do they mean by "don't do anything to raise your credit risk"? I pay my cards twice a month. My due date is the 10th and my statement closes on the 15th. I pay the minimum payment on the 1st and then pay the entire balance or 90% of the balance by the 13th.
I'll have to see what would be considered a risky maneuver other than over shopping. I try to never use more than 15 - 30% of my credit limit on one card. So that may be one "risky" thing, consistently getting close to your credit limit?
Thanks a bunch banks, like we don't have enough problems! :evil:
Hi jdlegall!
I just went through the website you mentioned and read the article. Very informative indeed! What they mean by "don't do anything to raise your credit risk" is that you should also be well informed about your credit limit. Suppose your bank had reduced your credit limit and you did not know that, you may be in trouble. In the present market conditions you need to be careful about these small things. These things will help you in the long run.
Thanks.
I just went through the website you mentioned and read the article. Very informative indeed! What they mean by "don't do anything to raise your credit risk" is that you should also be well informed about your credit limit. Suppose your bank had reduced your credit limit and you did not know that, you may be in trouble. In the present market conditions you need to be careful about these small things. These things will help you in the long run.
Thanks.
Hi jdlegall,
That's an interesting piece of information you've shared. But do you think it's fair for any credit card issuer to penalize customers depending upon from which bank they take out a mortgage? I don't think it's fair enough because most customers aren't aware as to how good a bank they're dealing with.
Good luck
That's an interesting piece of information you've shared. But do you think it's fair for any credit card issuer to penalize customers depending upon from which bank they take out a mortgage? I don't think it's fair enough because most customers aren't aware as to how good a bank they're dealing with.
Good luck