My husband opted out of the proposed changes to his Merrick Hooters card in December, so that his rate stayed at 18%. It was going to go up to 26%, I think.
The next two statements cut as usual, with the 18% rate and 0 available credit (although strangely, the same $1,300 limit is listed. $0 credit limit is listed with the credit bureaus.)
Anyway, I just noticed that on the Feb. 25th statement, the APR has dropped to 15%.
Are they crazy? Why would they drop the rate on a closed card?
Has anyone else opted out of the Merrick-H card? I kept mine open and I checked my rate and it is the same as what it went up to: 21% for me.
I still have mine open but I got my new statment and my APR went from 25.70 to 25.45 and they increased my CL by $200. That was a surprise since my first CLI took over a year to get.
Ive never heard of any company lowering an APR after closure, except for when payment arrangements are made, and that is usually brought upon by a chargeoff...
However, that being said, my Hooters MC (Which I got cause I thought it was funny about 4 years ago and have never used except for a autobill for my electric) is still at 9.99% APR - go figure, my lowest limit 1.5k, and also in the top 4 of lowest APR... If now, as a professional and no longer a college student, I wasnt entirely embarrased at using the card in public, I would most certainly use it more.