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Have you experienced the “Credit Card Cooldown?”

Posted on April 29, 2009

In part one of the series “The Credit Card Cooldown,” we learn about how good credit card customers are getting some very bad customer service.

Holly found out a little too late that even though she paid her credit card bill on the right day, it now had to be in before 4 p.m.

“They charged me a late fee, I had finance fees, and then they charged me a $35 over the limit fee,” she said.

Carl has been and ideal customer with Discover Card for ages. Recently, they thanked him.

“Thanks for being a good customer. Your cash back award is going away, and we’re doubling your interest rate. Have a nice day.”

It’s not your imagination, credit card companies have been on a rampage lately – doubling and even tripling APRs, slashing limits, abruptly closing accounts. Bill Hardekopf with LowCards.com says we all need to remember one thing.

“Credit card companies are for-profit organizations, these are not charities. They’re in the business to make money.”

If you think it’s unfair, you’re not alone. President Obama last week called the big bank cards to Capitol Hill, sending a very strong message.

“The days of anytime, any reason rate hikes and late-fee traps have to end,” the President said.

While Washington works on reining in the credit card industry, there are a few things you can do to fight back. In part two, we’ll tell you how.

Categories: Business

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