06-14-2013 12:38 AM
Sad to say but yes in fact read the new one today.
I like to know all the in's and out's of anything financial especially if I enter into an agreement with them.
Since it is considered a financial contract/agreement between you and the lender, and for obvious reasons, you should be familiar with their T&C. It's actually amusing to hear when folks complain or learn about the T&C if something adversely impacts their accounts...comments like "Oh, I didn't know there was an arbitration clause... I didn't know there was a residual interest charge... How come my credit limit was reduced?!? ...Are you sure those late fees aren't a violation of the Credit Act?"
Can't blame those that are financially illiterate. I know many people that can't comprehend any legal document and it is not like the T&C's are presented in the most readable manner anyway.
I'll be blunt - I can. Where does individual accountability and a simple willingness to learn or be educated about financial matters come into place? If an individual is entering into a contract, even as somewhat simple (to a certain extent) as a credit card loan... where do you draw the line? While no financial institution is by far perfect, they are regulated frequently enough by the Feds, hence the T&C agreement and subsequent revisions that lay out all the conditions of the contract.
It is very unfortunate that in a law-driven society the citizens are not able to comprehend even the most important contracts that matter to them. But I guess that's how lawyers make money.
06-14-2013 05:14 AM
I guess I understand there are things like penalty rates. But, is it wrong to presume that they can't put just any arbitrary item in there and hold you accountable? "If you charge over $200 on Sundays, we reserve the right to add a $50 surcharge". "You must tithe using this card".
In other words, I'll take the risk of something biting me if I miss a payment, or run afoul; but otheriwse count on common sense and law? to keep me safe. Plus I'm too busy posting and reading and working and eating to read all these CC terms.
On a related note, among the premium cards (or pick from my sig to personalize it for me), are there any significant differences in terms of T&C or benefits (i.e. protections, liability, warranty), or have al the majors caught up and pretty much take care of us the same?
thanks, I know this is a compound thread now, but I can derail my own, yes?
I guess it depends on what you mean by "anything"! The Citi Thank You program is causing some headaches at the moment, with some very powerful clauses, basically:
1) We can close your card or Thank You account for any reason
2) If your card is closed for any reason, you lose any points that have not been transferred to your Thank You account
3) If your Thank You account is closed for any reason, you may forfeit all the points in it.
And some people with high TY balances have indeed had all their cards closed and their points forfeited.
So this is an example where you have a rewards program but the T&Cs can be invoked to prevent you benefitting from any rewards you have earned. Of course, the assumption is that these clauses are only used for "good" reason (Citi would say fraud or abuse) but it does put the power with the issuer.
Now you can put anything in the T&Cs but it's not necessarily legally enforcible, but of course it can be time consuming and expensive to see if the card holder can win that argument.
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