topic Re: My FIRST adverse change in years in Credit Cards

My FIRST adverse change in years

MattH — Sun, 30 Nov 2008 03:32:22 GMT

AMEX is increasing the point spread above prime rate for my purchase APR to prime plus 8.99% along with some other tightening of trigger points for various penalties. Their notice begins "we are making several changes to our card products in response to the challenging environment..."

As a practical matter the APRs on my cards have no effect since my wife and I always pay in full, the mortgage is the only interest we pay. But I am somewhat offended on principle: I've had my AMEX card since 1982 with an outstanding payment history, my FICO scores are all near or above 800, my history is very very clean.

Re: My FIRST adverse change in years

Anonymous — Sun, 30 Nov 2008 03:40:42 GMT

I never pay attention to purchase APRs unless they are at 0%. So mine may have gone up, or down, without me realizing.

And here I was thinking it was strange when my dad told me last night that he doesn't pay attention to his credit limits, as he never gets even close.

Re: My FIRST adverse change in years

Watchmann — Sun, 30 Nov 2008 04:32:43 GMT

@MattH wrote:
AMEX is increasing the point spread above prime rate for my purchase APR to prime plus 8.99% along with some other tightening of trigger points for various penalties. Their notice begins "we are making several changes to our card products in response to the challenging environment..."

As a practical matter the APRs on my cards have no effect since my wife and I always pay in full, the mortgage is the only interest we pay. But I am somewhat offended on principle: I've had my AMEX card since 1982 with an outstanding payment history, my FICO scores are all near or above 800, my history is very very clean.

Yeah, got a similar note last month. Fortunately there was no mention of them changing the purchase APR from the current scheme of Prime + 2.49%. Only cash advances and default rates if I miss a payment. They also raised the foreign exchange rate to 2.7%. IMO this is a ripoff. I don't travel much overseas anymore, but I used to travel extensively in foreign countries and AMEX always had the best foreign exchange rates (compared to Visa and MC). They were the interbank rates with no silly surcharges. Now they tack on this 2.7% charge. Don't think it is justified, but they see it as as easy money, especially for business travellers who just charge it off on their expense reports. I wouldn't be surprised if corporate accounts don't get some sort of kickback on the foreign exchange charges. It is another way of them skewing their business back to the business side of things.

Message Edited by Watchmann on 11-29-2008 10:32 PM

Re: My FIRST adverse change in years

haulingthescoreup — Sun, 30 Nov 2008 04:33:18 GMT

Once they (and other banks) start shaking the money tree hard, everyone's going to get a bit rattled.

Re: My FIRST adverse change in years

Anonymous — Sun, 30 Nov 2008 05:50:02 GMT

@haulingthescoreup wrote:
Once they (and other banks) start shaking the money tree hard, everyone's going to get a bit rattled.

Let's just hope that account fees don't get in fashion. That's something that I cannot put up with, because I don't really spend enough to justify anything like that.

Re: My FIRST adverse change in years

Anonymous — Sun, 30 Nov 2008 06:07:35 GMT

@haulingthescoreup wrote:
Once they (and other banks) start shaking the money tree hard, everyone's going to get a bit rattled.

I can live with no credit cards at all. Did just fine for years.

Re: My FIRST adverse change in years

MattH — Sun, 30 Nov 2008 20:42:31 GMT

CITI just raised my wife's APR; as in my case it has no practical importance because she never pays it, but like me she is somewhat irritated.

Re: My FIRST adverse change in years

MattH — Sun, 30 Nov 2008 20:45:50 GMT

@Anonymous wrote:
@haulingthescoreup wrote:
Once they (and other banks) start shaking the money tree hard, everyone's going to get a bit rattled.

Let's just hope that account fees don't get in fashion. That's something that I cannot put up with, because I don't really spend enough to justify anything like that.

Well, others have posted in this forum about CCs imposing monthly fees. If anybody other than AMEX tries to start charging me any monthly or annual fees, I'm gonna cancel that card (for AMEX I make an exception because it's my oldest account, since 1982, and I want to keep that age).

Re: My FIRST adverse change in years

haulingthescoreup — Sun, 30 Nov 2008 22:53:11 GMT

You know, I used to be peeved at myself for having only co-branded store cards (store + Mastercard, Visa, etc) from the big banks, and my straight banking cards from credit unions, but I'm starting to feel like I might have dodged a bullet. So far, at any rate.

Love my CU cards.

Re: My FIRST adverse change in years

Anonymous — Sun, 30 Nov 2008 23:21:15 GMT

MattH,

I feel your pain. My latest statement for my Blue also included the APR increase. The account has a zero balance. I don't get it - I have had an Amex card since 1987. My utility is low, I have never had a baddie, I do not go on apping sprees.

When I called, the CS rep apologized and said that the APR increase was pretty much across the board.

My response - I opened a Citi Platinum Amex card. And, I have had nothing but trouble since opening the card. If you look, I have a thread about the Citi card.

Amex has gone postal. Yesterday, I got another pre approved application for the Platinum card. Thanks, but no thanks.

Message Edited by Scout1965 on 11-30-2008 05:21 PM

Re: My FIRST adverse change in years

Anonymous — Mon, 01 Dec 2008 04:00:11 GMT

Just another reason to sockdrawer Amex's.

Re: My FIRST adverse change in years

Anonymous — Mon, 01 Dec 2008 19:27:53 GMT

Famex