O.K. so sometimes I am a day late on Credit Card Payments

[rufus dog]

To be specific, each and every case in 2009 was one day late. (edit: to be clear I was one day late once on one card, and twice over twelve months on the other two)

I have a personal AMEX, a business AMEX, and a personal Visa, a personal MasterCard

Pay balance in full on each one every month. The Visa and MC are always low balance, usually under $100. AMEX cards can vary based upon how the business is doing. Anyway, I have interest rates over 25% on three of the four cards now. The first one was Visa, annoying, but no biggie, missed a payment by a day and they upped the rate on a $23 balance, fuck them I thought, the the MC, same thing, missed a payment by a day, no biggie, but it was my bank, who owes me 1000x the average daily balance (1000x looks impressive but the average balance is low) on a security they sold and are now force to pay based upon a lawsuit. Their response to me on the money owed, 'we will pay you in the first or second quarter in 2010.' When I called to complain, they stated, 'different departments, nothing we can do.'

So today I am checking my AMEX accounts to make sure I hit the payment dates and find a $30 finance charge on on my business account. I check the statement and verify that I paid on time so I call them. Turns out I was a day late in October and they charged me interest on my November balance (which I paid) and my December average daily balance even though I paid on time and in full.

My point is not to bitch about $30 or the other miscellaneous $2 fees. It is about the banks trying to fuck over people, specifically those who have driven profits for them for years. I am lucky and can pay, but if I was in a hole 25%+ would just be unbearable. Additionally the Visa and MC accounts are from two large banks who received bailouts. Up until today I could fall back to AMEX didn't try to screw me! My only recourse, is to make purchases with cash/debit. (and of course to never be a day late on a payment)

[aquart]

1. I love my debit card. LOVE IT.

[Electric Monk]

4. I dislike money as an abstract concept, but that probably belongs in another thread.

I can't believe you like money too. We should hang out. / Idiocracy

[RebelOne]

17. I love mine too. I never carry cash, but use my debt card for all purchases.

[notesdev]

2. So make purchases with cash and debit

tell the banksters to stick it where the sun don't shine. You can live without them, right?

[dkf]

5. I don't trust debit cards.

If money is taken unlawfully, you have to get it BACK and fix all the subsequent mess that may result.

Nope. Credit cards with auto pay is the way to go.

[notesdev]

6. Keep your exposure limited

Something that may happen (getting screwed via use of a debit card) is a lot better risk than something that is virtually certain to happen (getting screwed by a credit card company). Limit your exposure by not using the debit account as your main bank account.

[dkf]

10. I'm with a credit union.

Never had any problems with my credit cards. No increase in rates no annual fee. Just great service. And it's from my summer job as a government employee so my fellow credit union patrons are pretty reliable.

[dkf]

3. autopay is your friend...

I love it.

[hfojvt]

7. I like it for gas and electric but haven't done it with credit cards

one trick I use is to make a mininum payment online as soon as I get the bill. That way if I slip and miss the payment, at least I will not be late, just hit with finance charges. Plus it's not a ding on my credit record either.

[dkf]

9. I do a minimum flat amount but I usually pay it all off online before the

Due date. So if I don't get to it I still have a substantial Auto payment.

[Hekate]

8. Banksters. It's a bad system. I called one of my credit card services today...

... because I unwittingly mislaid the bill due on Dec. 7 and as I was going through the one due Jan. 7, I noticed the $29 late fee. I'm like you--I pay in full every month, and rarely am late. I phoned and said I'd cheerfully pay the $2 interest, but in light of my 30 year history with them, could they forgive the $29. The young lady said yes. So I felt like there was a shred of customer relations left in the world.

But jeez louise, the interest rate is over 25%. God forbid I ever stumble and need to actually use my revolving credit lines--I'd never get out of debt at all. That is flat-out immoral and should be illegal, period.

I completely agree with you -- the banks do their utmost to screw their customers. x(

Hekate

[Lasher]

11. I use credit cards for purchases where a risk might be a factor.

And mainly that means any transaction conducted over the internet. For just about everything else I use my debit card and auto pay from my checking account. But be mindful of this: If you let your checking account get overdrawn that will be a very bad day for you. I wonder how much of banks' profits come from charges for such things.

[napoleon_in_rags]

12. I just got charged hundreds in fees for overdrawing a few bucks.

They say some kind of cascading thing applied, the Internet purchases came through as a group so although only the final purchase actually overdrew the account $3, the fees applied to all of them.

What really gets me is that the bank says its for my convenience. If the online transaction had just been declined, I would have notice the error, transferred money from savings, done it again and that would be it. I can't wait for July when the new banking rules kick in, allowing people to opt out of overdraft "protection" and just have charges declined.

[Lasher]

13. Money is automatically moved from my savings to checking if there's an overdraft.

But I had to ask them to set that up and there's still a big fee if it happens. Not as bad as it would be otherwise though. The best thing to do is not ever be overdrawn. Easy to say, but I'm careful about it.

Another thing that pisses me off is my bank's monthly fee for online banking. It saves them money but the're hitting me with this charge because it's convenient for me too.

Thanks for mentioning overdraft protection opt-out. I didn't know about that.

[napoleon_in_rags]

14. Yeah, I turned that automatic transfer on today.

Big lesson there.

Here's a link on the opt-out for overdraft fees, for other interested folks:
http://www.creditcards.com/credit-card-news/opt-in-fed-debit-card-overdraft-fee-rules-1271.php

[old mark]

15. We learned to ALWAYS check every item on our bills, especially from banks

especially transaction records. We have found some amazing things, such as when our (former) ISP sold our personal financial information to anyone who wanted it. We got a lot of odd charges out of that. We found our bank was holding our payment for 3 or 4 days after we made the online payment for a specific bill, costing us $30 per month every month. We dropped that bank.

We are on a fixed income and $30 means dinner out to us.

The banks and credit companies are not your friends. Check everything carefully-it will be worth your time.

mark

[CoffeeCat]

16. If you have credit cards, they'll gouge you one way or another...

If you have credit cards, you can try to beat them at their own game. You pay off your balances monthly
and intend to pay on time. So, technically--you can win most of the time.

However, you won't win all of the time. This is not a game to these companies. You are a potential cash
cow and they've got hundreds of employees sitting in conference rooms--who are plotting new and better ways to
take your money. Sooner or later, they'll get you. Especially now, when these companies are hurting
due to defaults and people using credit cards less.

I use a debit card. We cut up all of our credit cards a decade ago and we've never been happier. I can't
imagine running a track meet every month--trying to avoid penalties and traps these companies set.

[Tracer]

18. My problem with debit cards is ...

... that I get whacked with a .35 charge every time I use it.

That can add up to $10 or $12 each month.

[Harry Monroe]

21. I've never used a debit card

I prefer my old fashioned checkbook and register where I record every check I write and keep my balance current. I have an ATM card to withdraw cash when I need it. As long as I am withdrawing money from my own bank branches, I avoid the foreign ATM fees. Rarely do I have the need to withdraw from a foreign ATM; the fees can be as much as $5 when you add their ATM fee and the penalty that my bank charges for withdrawing on another bank's ATM. If I withdraw $100 though, that is a charge of 5 cents for each dollar withdrawn. Not as bad as being charged 35 cents for each transaction with a debit card just for drawing cash.

I was offered a debit card years ago by my bank and I refused. Checks are cumbersome but a lot cheaper than debit cards. And in my opinion, they also provide a measure of financial discipline and self control.

[lonestarnot]

19. May as well file for BK looser!

:evilgrin: and just in case, fuck you if you can't take a joke. :hug:

[KharmaTrain]

20. Remember, If You Pay On Time, You're A Deadbeat...

I do a lot of my business with cash and check wherever possible these days. But the cards are a necessary evil...especially when travelling.

My rule has always been to pay any balance within 24 hours of getting the bill...but I know others don't have this luxuary. And then I get hit with increased "anual fees". The system is jobbed as the banks know the only way to make big profits is to find ways to sneak in extra charges...the percentage they get on the sale isn't enough. If you keep a zero balance, you're a liability...there's no profit in you compared to the poor schmuck caught in the revolving door at 29%. I'll bet one can get a better rate from the Mafia these days.