Rejecting and Retaining Credit Card Terms and Conditions
Author: Per
Posted: Fri Jul 02, 2004 7:20 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 8:33 pm CDT
I have just been informed that Chase is buying my Providian card. They also informed me that I was going from a fixed (not a teaser) to a variable rate. I didn't trigger any of the current terms to get the change in rate.
My question is: If I close my account prior to it being transferred to Chase can I pay out the remaining balance under my current terms i.e. the fixed rate or can they actually change the terms on a closed account?
Any insight would be helpful.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: Misty
Posted: Fri Jul 02, 2004 7:20 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 9:33 pm CDT
Most of the time when a "change in terms" is happening on an account, the company sends you notification a few months ahead of time letting you know what changes are taking affect. Some of them you have no choice to accept, but others you can "opt out" of by closing your account by a certain date. But this issue is a little different since your account is being acquired by another company. Usually in a case like that, the terms are changing to align your account w/the rest of the company's portfolio so you may have no choice but to accept them in this case. I would contact the issuing company to find out what the situation is. Hope this helps!
Author: nobody
Posted: Fri Jul 02, 2004 7:21 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/27/2002 2:01 pm CDT
Closing the account is not the same as "rejecting the new terms". It is possible to close the account and still be subject to the new terms.
What you want to do instead is "reject the new terms". When you got the notice of the new terms there should have been a special address and a deadline by which you must reject the new terms if you don't want them to apply to you. You must send them a written notice to this special address rejecting the new terms. After that, you will not be able to use your account for any new purchases, etc., but, strictly speaking, it won't actually be closed.
Furthermore, I believe, (and somebody correct me if I'm wrong)no matter what the situation (buy-out, etc. like in your case) in order for them to change the terms they must send you a notice and give you the choice to not accept the new terms, regardless.
Author: ed
Posted: Fri Jul 02, 2004 7:21 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 8:02 pm CDT
After a couple of years, and only a $500 credit limit, Cap One has cancelled my card, saying it was due to two late payments within the last 6 mos. I can't help but believe it was due to the fact that I've hardly ever had to pay interest, and for the last two months, I've immediately payed every charge online, within 24 hrs. of the transaction! I don't think they like that.
Does anyone know of a decent card I can get without going the secured route? I can easily go secured, but would rather not.
Posted: Fri Jul 02, 2004 7:20 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 8:33 pm CDT
I have just been informed that Chase is buying my Providian card. They also informed me that I was going from a fixed (not a teaser) to a variable rate. I didn't trigger any of the current terms to get the change in rate.
My question is: If I close my account prior to it being transferred to Chase can I pay out the remaining balance under my current terms i.e. the fixed rate or can they actually change the terms on a closed account?
Any insight would be helpful.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: Misty
Posted: Fri Jul 02, 2004 7:20 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 9:33 pm CDT
Most of the time when a "change in terms" is happening on an account, the company sends you notification a few months ahead of time letting you know what changes are taking affect. Some of them you have no choice to accept, but others you can "opt out" of by closing your account by a certain date. But this issue is a little different since your account is being acquired by another company. Usually in a case like that, the terms are changing to align your account w/the rest of the company's portfolio so you may have no choice but to accept them in this case. I would contact the issuing company to find out what the situation is. Hope this helps!
Author: nobody
Posted: Fri Jul 02, 2004 7:21 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/27/2002 2:01 pm CDT
Closing the account is not the same as "rejecting the new terms". It is possible to close the account and still be subject to the new terms.
What you want to do instead is "reject the new terms". When you got the notice of the new terms there should have been a special address and a deadline by which you must reject the new terms if you don't want them to apply to you. You must send them a written notice to this special address rejecting the new terms. After that, you will not be able to use your account for any new purchases, etc., but, strictly speaking, it won't actually be closed.
Furthermore, I believe, (and somebody correct me if I'm wrong)no matter what the situation (buy-out, etc. like in your case) in order for them to change the terms they must send you a notice and give you the choice to not accept the new terms, regardless.
Author: ed
Posted: Fri Jul 02, 2004 7:21 am
Post subject: Rejecting and Retaining Credit Card Terms and Conditions
6/26/2002 8:02 pm CDT
After a couple of years, and only a $500 credit limit, Cap One has cancelled my card, saying it was due to two late payments within the last 6 mos. I can't help but believe it was due to the fact that I've hardly ever had to pay interest, and for the last two months, I've immediately payed every charge online, within 24 hrs. of the transaction! I don't think they like that.
Does anyone know of a decent card I can get without going the secured route? I can easily go secured, but would rather not.
posted by CardRatings.com at 12:31 PM
0 Comments:
Post a Comment
<< Home