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Established Contributor
Revike
Posts: 720
Registered: ‎05-04-2007

Re: Chase And Their New Account Service Charges

I contacted Chase through their message center, and their first reply was a generic message about the 2% minimum payment and the "1% of principal" rule, and had no relation to the question I asked. I asked again for a specific answer about whether the new $10.00 fee and the 5% minimum payment rate would be rescinded after the balance was paid in full. I received a reply today - it essentially repeated the information in the original notice, that the $10.00 monthly fee and 5% minimum payment can only be avoided by paying off and closing the account by January 1. The reply made no mention of any 7.99% alternative option. It could be the 7.99% option is something that CSRs have the discretion to offer to customers who call them. Anyway, at the moment it appears that the new terms would remain attached to the account, even after the balance is PIF. Apparently, Chase thinks there are a sufficient number of customers without options who will be forced to go along with the new terms, and they don't care (or are happy) that those with options will pay off their balance and close their accounts ...
New Visitor
TheEdge040
Posts: 2
Registered: ‎03-19-2008

Re: Chase And Their New Account Service Charges

My wife and I both have accounts with Chase.  We both accepted lifetime balance transfers with Chase within the last year.  After hearing about this ridiculous change in terms notice, I emailed Chase concerning both accounts.  Chase replied and said my wife's account will not be affected, but Chase said that the question concerning my account was referred to the "appropriate department for review."

 

Kinda weird.  My statement posts tomorrow, so I guess we shall see.  If my account is affected, I'm going to say "see ya" to Chase.

 

My account was an old account Chase acquired from Bank One if that means anything.  

Established Member
Joey22
Posts: 22
Registered: ‎11-10-2008

Re: Chase And Their New Account Service Charges

[ Edited ]

What are some of your 'lifetime of the balance' rates that seem to be triggering this new charge ( the rate "cutoff" )?

 

One of mine is 2.99%, the other 3.99%.

 

I wonder if anything 5.9% and over doesn't bother Chase at this time..(?)

 

 

Message Edited by Joey22 on 11-18-2008 03:24 PM
Established Member
Joey22
Posts: 22
Registered: ‎11-10-2008

Re: Chase And Their New Account Service Charges


Revike wrote:
I contacted Chase through their message center, and their first reply was a generic message about the 2% minimum payment and the "1% of principal" rule, and had no relation to the question I asked. I asked again for a specific answer about whether the new $10.00 fee and the 5% minimum payment rate would be rescinded after the balance was paid in full. I received a reply today - it essentially repeated the information in the original notice, that the $10.00 monthly fee and 5% minimum payment can only be avoided by paying off and closing the account by January 1. The reply made no mention of any 7.99% alternative option. It could be the 7.99% option is something that CSRs have the discretion to offer to customers who call them. Anyway, at the moment it appears that the new terms would remain attached to the account, even after the balance is PIF. Apparently, Chase thinks there are a sufficient number of customers without options who will be forced to go along with the new terms, and they don't care (or are happy) that those with options will pay off their balance and close their accounts ...

I always hate communicating through that message center.. stock answers and the like..

 

I'm going to call this w/e to see what I can find out. 

Established Contributor
Revike
Posts: 720
Registered: ‎05-04-2007

Re: Chase And Their New Account Service Charges

[ Edited ]

Joey22 wrote:

What are some of your 'lifetime of the balance' rates that seem to be triggering this new charge ( the rate "cutoff" )?

 

One of mine is 2.99%, the other 3.99%.

 

I wonder if anything 5.9% and over doesn't bother Chase at this time..(?)


 

The account that I received the notice for is a 3.99% "life of the balance" rate. It was originally a FirstUSA account. I received my statement and the enclosure on 11/13.

 

I have another ex-FirstUSA account with a statement closing date 5 days earlier, but I did not receive a notice with that one. That statement arrived on 11/10, and I'm waiting to see if that account might not be affected. The first posting of this Chase problem was on Ripoff Report on 11/6, so I was thinking Chase started mailing these notices with statements to targeted customers on 11/4 or 11/5.

 

I agree there is probably an interest rate cutoff - could be 5.99%, could be 6.99%. Also, I bet the 0% limited-time BT offers will not be affected. Chase doesn't care about 12-month or 15-month offers, but they are afraid of some of us carrying the low-interest offers for 4 years. Nothing like a bit of knee-jerk panic.   

Message Edited by Revike on 11-18-2008 05:16 PM
New Visitor
TheEdge040
Posts: 2
Registered: ‎03-19-2008

Re: Chase And Their New Account Service Charges

[ Edited ]

Chase returned the e-mail I sent to them and told me that my account will not be subject to the changes.

 

As an FYI to you guys, my wife has a 3.99 lifetime rate and I have a 5.99 lifetime.  We don't have very large lines on them, though, and we did the transfers within the past 6 to 8 months.  We don't have any business accounts with them or anybody else.

 

Hope this helps.  Good luck to you all. 

Message Edited by TheEdge040 on 11-18-2008 05:35 PM
Established Member
Joey22
Posts: 22
Registered: ‎11-10-2008

Re: Chase And Their New Account Service Charges


TheEdge040 wrote:

Chase returned the e-mail I sent to them and told me that my account will not be subject to the changes.

 

As an FYI to you guys, my wife has a 3.99 lifetime rate and I have a 5.99 lifetime.  We don't have very large lines on them, though, and we did the transfers within the past 6 to 8 months.  We don't have any business accounts with them or anybody else.

 

Hope this helps.  Good luck to you all. 

Message Edited by TheEdge040 on 11-18-2008 05:35 PM

OK, maybe it has a bit to do with length also.  Both of my card's transfers were done several years ago 2004 or 2005 IIRC.  Maybe their new definition of "lifetime" = 1 year?

 

Thanks to all for info.  We'll get to the bottom of this! 

Senior Contributor
MattH
Posts: 3,245
Registered: ‎04-03-2008

Re: Chase And Their New Account Service Charges


Joey22 wrote:

I have two different Chase cards, one business and one personal.  Enclosed with the newest statements was a new notice regarding upcoming changes to my account(s).

 

  • Starting January 1, 2009, A new Account Service Charge of $10 per month will be applied to your account.  This charge is owed whether or not you use your account, and you agree to pay it when billed.
  • Your minimum payment due will increase from 2% to 5% of the ending balance on your monthly statement.  As a result, your required monthly minimum payment will increase.

 

Your APRs will not be impacted by these changes (gee, thanks!)

 

Both cards still continue to have no annual fee (hah!). 

 

My credit score remains in the mid 700's, and has been for years.  No new charges out of the ordinary.  No "reason" for these new service charges, except that they need lots and lots of cash... and quick!  

 

If this trend continues to spread to other CCC (and I believe it will), many Americans will have no choice but to default, and settle for paying 30 cents on the dollar down the line.

 

Thoughts? 

  

 

 


 

Yikes!  Chase has NOT done any such thing to me, and if they did I'd cancel the account so fast it would make their heads spin.

 

 

TU 791 02/11/2013, EQ 800 1/29/2011 , EX Plus FAKO 812, EX Vantage Score 955 3/19/2010 wife's EQ 9/23/2009 803
EX always was my highest when we could pull all three
Always remember: big print giveth, small print taketh away
If you dunno what tanstaafl means you must Google it
Regular Contributor
Not_the_Point
Posts: 187
Registered: ‎01-20-2008

Re: Chase And Their New Account Service Charges

I hope they're not planning on throwing this on those of us coming over from WaMu.

 

The part about "no annual fee" is seriously laughable though. I guess they think their customers are too dumb to read between the lines and multiply $10 times 12.


8/27/10 -
TU FICO 768
EQ FICO 763
EX PLUS 732

Established Contributor
Revike
Posts: 720
Registered: ‎05-04-2007

Re: Chase And Their New Account Service Charges

Update:

Chase Card 1 (previously First USA) - statement cut 11/3 - received statement 11/10 - no insert.

Chase Card 2 (previously First USA) - statement cut 11/8 - received statement 11/13 - insert enclosed - $10.00 monthly fee and 5% minimum payment starting January 1 - no online notification yet.

Chase Card 3 (regular Chase MC) - statement cut 11/15 - received statement 11/19 - no insert.

Each card carries a 3.99% or lower "for life of the balance" rate. The only distinction that Card 2 has is that it has the highest CL of the three cards, but it also has the lowest utilization. Otherwise, I can't see what the criteria is for penalizing certain accounts and not others ...


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