Credit Card Companies Using Bait and Switch Tactics
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:30 pm
Post subject: Variable Rate Nightmares (AOL/Discover)
Jan Fritz
Date: 3/19/2000 0:11 am CDT
I am an AOL user, and I applied for the AOL VISA (issued by
First USA) when
the interest rate was advertised at 9.9 fixed. I kept the card
for almost a
year, then they changed the interest rate on me in mid-stream!
They went to
a variable rate (as we all know a credit card holder's
nightmare). I felt
that they were deceitful in doing this, as they were still
advertising the
9.9 fixed rate every time I signed on to AOL. I had owned First
USA VISA
cards for years; you can bet that I will never do business with
them again.
Then, I transferred my substantial balance (almost 10,000) to a
Discover
Platinum Card that offered an introductory rate of 2.9% on
balance transfers
until April 2000, then fixed at 12.99%. Low -&- behold, last week
I received
notice in the mail that Discover was also going to a variable
rate! Call me
crazy, but this is classic BAIT -&- SWITCH advertising. I am
seraching for a
credit card company that will not deal with me underhandedly.
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:31 pm
sandyhammer
Date: 3/19/2000 4:35 pm CDT
I have had a Discover Card since 1990, the year they went into business. I have always carried a balance and I have always made my payments. They have made a good pile of money from me. Last summer I let them switch me to a Discover Platinum. Like you, last week I received a notice that they were switching me from a fixed to a variable rate. Is this any way to treat a loyal and reliable customer of 10 years? Like you, I agree that this is a bait and switch. I do not like and have never applied for a variable rate card. If you go and check their web site (Discovercard.com) you will see they are still advertizing the platinum card as having a fixed rate. I hope someone sues them. I'd have been less ticked off if they had simply raised my interest rate.
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:31 pm
kknight
Date: 8/24/2000 11:01 pm CDT
I am having the same problem. I cancelled one credit card for the bait and switch tactic of getting you to sign up for a 'forever' fixed rate and then changing to a variable several months after you transfer all your balances to them. This has happened with several different credit card cmpanies. I had a Travelers Visa Card and within the past couple of months, Citibank bought them. I got a notice from Citibank that 'nothing would change' re my account and the 'wonderful customer service.' This month I received a little notice with my statement that warned effective 10/1/00 I would be switched to a variable rate. I called and was told they have the right to do that. But it sure seems like this is their conniving way of tricking the consumer into signing up, switching their balances over to them and then upping the interest rate. Can't anything be done? Does anyone out there know of any recourse to this kind of practice?
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:32 pm
kknight
Date: 8/24/2000 11:10 pm CDT
I want to know if anyone out there knows of any recourse that can be taken against credit card companies who solicit your business promising you a guaranteed fixed rate and then waiting until you transfer other balances over to them and changing to a variable rate. I have cancelled more than one credit card for the bait and switch tactic of getting you to sign up for a 'forever' fixed rate and then changing to a variable several months after you transfer all your balances to them. Most recently, I had signed up for a Travelers Visa Card and was guaranteed that the interest rate would be fixed and would never be changed to a variable. In fact, the person over the phone promised it would stay at 9.9% "forever" when I asked. Within the past couple of months, Citibank bought them. I got a notice from Citibank that 'nothing would change' re my account and the 'wonderful customer service' I had experienced with Travelers would continue. This month I received a little notice with my statement that warned effective 10/1/00 I would be switched to a variable rate. I called and was told they have the right to do that. I am really sick of having to cancel credit cards every few months and get another one only to have to cancel them a few months after signing up because of their deceitful tactics. This sure seems like a true 'bait and switch' tactic. They trick their customers into signing up with them by making false promises and then change the rules midstream. Can't anything be done? Does anyone out there know of any recourse to this kind of practice?
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:32 pm
Chris Mangus
Date: 4/28/2001 8:45 am CDT
I am a First USA cardmember who is upset by the fact that First USA recently changed my cards "fixed rate" of 8.9% to a variable rate of 13.8%. I don't understand how a bank can advertise a rate as being fixed, baiting consumers, and then once they reel you in they suddenly increase your rate and change it to variable. Is there anything that I can do to get some kind of reimbursment for the extra money that I have paid First USA due to the change in their policy?
View our latest credit card ratings!
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:30 pm
Post subject: Variable Rate Nightmares (AOL/Discover)
Jan Fritz
Date: 3/19/2000 0:11 am CDT
I am an AOL user, and I applied for the AOL VISA (issued by
First USA) when
the interest rate was advertised at 9.9 fixed. I kept the card
for almost a
year, then they changed the interest rate on me in mid-stream!
They went to
a variable rate (as we all know a credit card holder's
nightmare). I felt
that they were deceitful in doing this, as they were still
advertising the
9.9 fixed rate every time I signed on to AOL. I had owned First
USA VISA
cards for years; you can bet that I will never do business with
them again.
Then, I transferred my substantial balance (almost 10,000) to a
Discover
Platinum Card that offered an introductory rate of 2.9% on
balance transfers
until April 2000, then fixed at 12.99%. Low -&- behold, last week
I received
notice in the mail that Discover was also going to a variable
rate! Call me
crazy, but this is classic BAIT -&- SWITCH advertising. I am
seraching for a
credit card company that will not deal with me underhandedly.
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:31 pm
sandyhammer
Date: 3/19/2000 4:35 pm CDT
I have had a Discover Card since 1990, the year they went into business. I have always carried a balance and I have always made my payments. They have made a good pile of money from me. Last summer I let them switch me to a Discover Platinum. Like you, last week I received a notice that they were switching me from a fixed to a variable rate. Is this any way to treat a loyal and reliable customer of 10 years? Like you, I agree that this is a bait and switch. I do not like and have never applied for a variable rate card. If you go and check their web site (Discovercard.com) you will see they are still advertizing the platinum card as having a fixed rate. I hope someone sues them. I'd have been less ticked off if they had simply raised my interest rate.
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:31 pm
kknight
Date: 8/24/2000 11:01 pm CDT
I am having the same problem. I cancelled one credit card for the bait and switch tactic of getting you to sign up for a 'forever' fixed rate and then changing to a variable several months after you transfer all your balances to them. This has happened with several different credit card cmpanies. I had a Travelers Visa Card and within the past couple of months, Citibank bought them. I got a notice from Citibank that 'nothing would change' re my account and the 'wonderful customer service.' This month I received a little notice with my statement that warned effective 10/1/00 I would be switched to a variable rate. I called and was told they have the right to do that. But it sure seems like this is their conniving way of tricking the consumer into signing up, switching their balances over to them and then upping the interest rate. Can't anything be done? Does anyone out there know of any recourse to this kind of practice?
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:32 pm
kknight
Date: 8/24/2000 11:10 pm CDT
I want to know if anyone out there knows of any recourse that can be taken against credit card companies who solicit your business promising you a guaranteed fixed rate and then waiting until you transfer other balances over to them and changing to a variable rate. I have cancelled more than one credit card for the bait and switch tactic of getting you to sign up for a 'forever' fixed rate and then changing to a variable several months after you transfer all your balances to them. Most recently, I had signed up for a Travelers Visa Card and was guaranteed that the interest rate would be fixed and would never be changed to a variable. In fact, the person over the phone promised it would stay at 9.9% "forever" when I asked. Within the past couple of months, Citibank bought them. I got a notice from Citibank that 'nothing would change' re my account and the 'wonderful customer service' I had experienced with Travelers would continue. This month I received a little notice with my statement that warned effective 10/1/00 I would be switched to a variable rate. I called and was told they have the right to do that. I am really sick of having to cancel credit cards every few months and get another one only to have to cancel them a few months after signing up because of their deceitful tactics. This sure seems like a true 'bait and switch' tactic. They trick their customers into signing up with them by making false promises and then change the rules midstream. Can't anything be done? Does anyone out there know of any recourse to this kind of practice?
View our latest credit card ratings!
Author: archive
Joined: 23 Jul 2004
Posts: 5007
Posted: Thu Jan 13, 2005 5:32 pm
Chris Mangus
Date: 4/28/2001 8:45 am CDT
I am a First USA cardmember who is upset by the fact that First USA recently changed my cards "fixed rate" of 8.9% to a variable rate of 13.8%. I don't understand how a bank can advertise a rate as being fixed, baiting consumers, and then once they reel you in they suddenly increase your rate and change it to variable. Is there anything that I can do to get some kind of reimbursment for the extra money that I have paid First USA due to the change in their policy?
View our latest credit card ratings!
posted by CardRatings.com at 8:28 PM
0 Comments:
Post a Comment
<< Home