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Need advice: Late payment, raised APR

Established Contributor

Need advice: Late payment, raised APR

I've had a Juniper cc for about 4 years with a 9.9% APR and no lates ever, always paying more than the minimum. We recently purchased our first home and i knew our internet would be out for a bit during the move so i set up prepayments for November on all my cards. Long story short, the payment didn't go through for this card (i think i accidentally cancelled it) and i didn't notice until a day after it was due (got an alert). I called and made the payment but it was considered late anyway and they raised my rate to 30% last month. The card is almost maxed out right now but I'm paying it off entirely when our tax refund arrives.

 

What would be the best way to handle this situation? Call them now with 90% utilization and ask for the rate to be lowered on the grounds i've had the card several years, never been late, and was less than 24 hours late because of a computer error? I was thinking it would be better to pay it off next month, then call and ask but i'm not sure if the new cc laws will change things. I'd appreciate any advice! Smiley Happy

3 REPLIES
Moderator Emeritus

Re: Need advice: Late payment, raised APR


ladyofnight wrote:

I've had a Juniper cc for about 4 years with a 9.9% APR and no lates ever, always paying more than the minimum. We recently purchased our first home and i knew our internet would be out for a bit during the move so i set up prepayments for November on all my cards. Long story short, the payment didn't go through for this card (i think i accidentally cancelled it) and i didn't notice until a day after it was due (got an alert). I called and made the payment but it was considered late anyway and they raised my rate to 30% last month. The card is almost maxed out right now but I'm paying it off entirely when our tax refund arrives.

 

What would be the best way to handle this situation? Call them now with 90% utilization and ask for the rate to be lowered on the grounds i've had the card several years, never been late, and was less than 24 hours late because of a computer error? I was thinking it would be better to pay it off next month, then call and ask but i'm not sure if the new cc laws will change things. I'd appreciate any advice! Smiley Happy


I would make that call just to see what you can achieve. You can't get what you don't ask for. They might be nice and help you. But if not I'd do exactly what you were planning on doing anyway and that is PIF with your return. Once the balance is zero it doesn't matter what the rate is. Just never carry a balance forward again and you have no worries about 30% interest.

 

 

From a BK years ago to:
7/09 TU-742 EQ- 779
8/09 TU-765 EQ- 783
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You can do the same thing with hard work

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Senior Contributor

Re: Need advice: Late payment, raised APR


ladyofnight wrote:

I've had a Juniper cc for about 4 years with a 9.9% APR and no lates ever, always paying more than the minimum. We recently purchased our first home and i knew our internet would be out for a bit during the move so i set up prepayments for November on all my cards. Long story short, the payment didn't go through for this card (i think i accidentally cancelled it) and i didn't notice until a day after it was due (got an alert). I called and made the payment but it was considered late anyway and they raised my rate to 30% last month. The card is almost maxed out right now but I'm paying it off entirely when our tax refund arrives.

 

What would be the best way to handle this situation? Call them now with 90% utilization and ask for the rate to be lowered on the grounds i've had the card several years, never been late, and was less than 24 hours late because of a computer error? I was thinking it would be better to pay it off next month, then call and ask but i'm not sure if the new cc laws will change things. I'd appreciate any advice! Smiley Happy


one of the problems with high uti is that they really have no incentive to reduce the rate if they think you have no other options. I would PIF first as you plan to-- may as well do so b4 contacting them about a rate restoral, they could tell you that you need to wait 6 mos of on time payments or maybe you'll get lucky like I did. 
recently had a crazy citi default rate that they nailed several of us with reversed the acct was PIF at the time of the request FWIW, gl! 
DCU EQ 5.0, Citi EQ 08 Bankcard, PenFed EX NG2
EX 08: AFCU, Amex, Chase, PSECU EX 98(?)
TU 08: Barclays, Discover
Established Contributor

Re: Need advice: Late payment, raised APR

Thanks for the responses, i figured that was the way to go. I will wait and pay it off Smiley Happy