Variable Credit Card Interest Rates
Author: kgladysg
Posted: Sat Sep 18, 2004 12:02 am
Post subject: Variable rate vs. High Fixed Rate
I have a credit card from MBNA which had a fixed rate of 7.9 until two months ago when it was raised to 17.98 fixed rate. I have a balance of $10,000 on the account. I called to check and see why the interest rate had gone up so high and was told it was because my balance was not changing. I am close to my credit limit on it and was told nothing could be done about the rate until my balance went down. I have always paid more than the minimum payment but now it is to the point where I just pay the minimum. I was informed that the interest rate would be changed soon to a variable rate or I could refuse it and keep my 17.98 fixed rate. Would it be to my benefit to change to the variable rate? It seems it can't be worse than the 17.98 fixed rate I have now. Please help!! I have a credit rating of 713. I guess I can try to find another credit card to transfer balances to but I imagine that's easier said than done.
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Author: Polonius
Posted: Sat Sep 18, 2004 2:15 am
Post subject:
You don't tell us what that variable rate is, so how can we give you any help about which offer is in your best interest?
MBNA obviously can raise your rate at any time. It charges 24.99% to 29.99% to some of its credit cardholders. So you can't assume the variable rate will be better for you.
With your credit score, you should find it pretty easy to get a better deal from a different company. Apply, transfer your balance, and tell MBNA to shove it.
What is getting into these banks these days?
Author: credithelp
Posted: Sat Sep 18, 2004 9:01 am
Post subject: Variable Credit Card Interest Rates
With your credit score you shouldnt have a problem getting good rates. Card issuers do everything these days according to profits. If an issuer gets hit with alot of bk,charge offs,etc they tend to raise the rates on those who pay. It helps them to recover the losses from the negative accounts.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: kgladysg
Posted: Sat Sep 18, 2004 6:28 pm
Post subject: Variable Rate vs. High Interest Rate
Sorry. I guess you can tell I really don't know much about interest rates. I received my letter today reference the change to 19.99 variable rates. Thanks for your assistance.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Posted: Sat Sep 18, 2004 12:02 am
Post subject: Variable rate vs. High Fixed Rate
I have a credit card from MBNA which had a fixed rate of 7.9 until two months ago when it was raised to 17.98 fixed rate. I have a balance of $10,000 on the account. I called to check and see why the interest rate had gone up so high and was told it was because my balance was not changing. I am close to my credit limit on it and was told nothing could be done about the rate until my balance went down. I have always paid more than the minimum payment but now it is to the point where I just pay the minimum. I was informed that the interest rate would be changed soon to a variable rate or I could refuse it and keep my 17.98 fixed rate. Would it be to my benefit to change to the variable rate? It seems it can't be worse than the 17.98 fixed rate I have now. Please help!! I have a credit rating of 713. I guess I can try to find another credit card to transfer balances to but I imagine that's easier said than done.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: Polonius
Posted: Sat Sep 18, 2004 2:15 am
Post subject:
You don't tell us what that variable rate is, so how can we give you any help about which offer is in your best interest?
MBNA obviously can raise your rate at any time. It charges 24.99% to 29.99% to some of its credit cardholders. So you can't assume the variable rate will be better for you.
With your credit score, you should find it pretty easy to get a better deal from a different company. Apply, transfer your balance, and tell MBNA to shove it.
What is getting into these banks these days?
Author: credithelp
Posted: Sat Sep 18, 2004 9:01 am
Post subject: Variable Credit Card Interest Rates
With your credit score you shouldnt have a problem getting good rates. Card issuers do everything these days according to profits. If an issuer gets hit with alot of bk,charge offs,etc they tend to raise the rates on those who pay. It helps them to recover the losses from the negative accounts.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
Author: kgladysg
Posted: Sat Sep 18, 2004 6:28 pm
Post subject: Variable Rate vs. High Interest Rate
Sorry. I guess you can tell I really don't know much about interest rates. I received my letter today reference the change to 19.99 variable rates. Thanks for your assistance.
CardRatings.com is the most comprehensive source for comparing credit card offers. Please visit CardRatings.com to view the best rated credit cards!
posted by CardRatings.com at 2:12 PM
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