Monday, March 8, 2010

I Will No Longer Do Business With Chase Bank

So in 2008, I was traveling a lot and not doing a very good job of keeping up with paying bills on time. I made a few late payments on my Chase credit card, which also serves as the overdraft protection credit line for my business checking account. They raised my interest rate to 21.99 percent on the overdraft protection portion of the account, and 29.99 percent on the credit portion of the account.

Since September 2008, I have not made a single payment late. Not one. Not only that, but I've paid the balance down to just over $1000. Yet two months ago, they raised the interest rate to 29.99 percent on the overdraft protection portion of the account, for no apparent reason.

I called and asked why. They said they were "standardizing the interest rate."

I asked why they didn't "standardize" it at the lower rate. They said that's just not the way it works.

I asked them to lower the interest rate on both portions to something more reasonable than 30 percent. They refused.

Why, I asked? They said they simply "don't have a lower rate to offer."

I submit it's because they want to suck as much money as they can out of the people who actually pay their bills, to subsidize the mountain of bad loans and speculative deals they made over the past decade that are now biting them in the butt.

So I guess they leave me no other options: I'll simply have to pay it off and cancel it, and take my business elsewhere.

I will also have to move my business checking account (they charge $12 a month for that particular privilege), lawyer trust account, and business savings account to a different bank. Why would I want to do business with blood-sucking bastards?

This is a little sad, because I actually like the people at my local branch. They are friendly and professional.

But they work for blood-sucking bastards, so I won't be seeing them anymore.

10 comments:

Mrs. Lovely said...

I feel your pain and I think you're right, they raise the interest rates for you because you've been paying and they know they'll get your money. Take your money and your business to some place that will treat you better, you deserve it. Best of luck with this. :)

SkylersDad said...

I hear you, we are in the same position.

Alessandro Machi said...

I'm Glad you came to your senses.

Chase Bank SUED FOR FREEZING HOME EQUITY LINES.

CONSUMERS to lose 100 MILLION to 1 BILLION DOLLARS A MONTH BECAUSE OF CHASE BANK'S RAISE IN THE MONTHLY MINIMUM PAYMENT ON LOW INTEREST CREDIT CARDS.

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Daily-PROTEST

ROBOTS AGAINST CHASE

BLOGGERS AGAINST CHASE BANK

PARALLEL FORECLOSURE

CREDIT CARD COMPANIES ME FIRST AGENDA IS CAUSING SOME STATES SERIOUS FINANCIAL LOSSES.

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Jamie Dimon's Competence Called into Question by John Kay.

Cora said...

I loathe Chase Bank too. I am ALMOST finished paying down my card and can not wait to cancel it. And I've already moved all my accounts to BECU except the one checking account I use strictly for eBay. You're right, they're money vampires. GRRRRRR.

Gwen said...
This comment has been removed by the author.
Gwen said...

They did the same thing to me over one late payment. I borrowed money at a MUCH lower rate (5%), paid it off, and told them to SUCK IT. Vultures.

Nan said...

Citibank did something similar to me a few years ago. The interest rate went up for no apparent reason, they wouldn't negotiate, and the next thing they got from me was an evelope containing a check paying off the balance on the account and a card that had been scissored into confetti-sized pieces.

Chaka said...

Amen! I love seeing people pay off those vultures, then bad mouth them for the rest of their life. 29% interest is ridiculous. Credit card companies will work with you and eventually bend over backwards, but only if you are delinquent and they feel they will not be getting any more payments from you. It's too bad people have to ruin their credit to get them to work with them.

Johnny Yen said...

I had a credit card with Washington Mutual, which had an 8.99% rate. I used it when I had big purchases, like a used car or tuition. I paid double payments and was never a minute late. Suddenly, Chase bought the company and I was informed my rate was being increased to 28.99% and my minimum payments were being jacked up. I stopped making payments. When I'm done with nursing school, I'll call them up and settle the debt for 1/3 of what it's worth. A**holes.

tsduff said...

I stumbled over here through that old black box. I read your post about Chase - they did the same thing to me simply because though I have a large balance on my card, I only transfered it there and have been steadily paying it off for years. Never missed a payment, nor had a late payment, yet one day they raised my percentage due (minimum payment) amount astronomically! I called them up and asked why, and they said because I don't use the card they can raise the minimum payment due. (In other words, they weren't making any money on me). I told them I couldn't make such a huge minimum payment every month, so they suggested I raise my interest rate from 7.99% to 19.99. I couldn't believe it, but I'm stuck. Grrrrrrrrrrr