is this new?

Discussion in 'Random Ramblings' started by Tala, Dec 12, 2009.

  1. Tala

    Tala Flock Mistress

    I recently received a notice of changes to my cardmember agreement for two of my credit cards (one held by Chase, formerly Providian and Washington Mutual, the other held by World Financial Network National Bank, not that it seems to make any difference)
    you know, the usual, we're rasing your rates because they are going to be variable depending on the market now....blah blah blah

    one thing that stood out to me was this little paragraph here:

    YOU HEREBY AGREE THAT ANY DISPUTE, CLAIM OR CONTROVERSY ARISING NOW OR IN THE FUTURE UNDER OR RELATING IN ANY WAY TO THIS AGREEMENT, OR TO THE ONLINE SERVICE ("CLAIM"), REGARDLESS OF THE NATURE OF THE CAUSE(S) OF ACTION ASSERTED (INCLUDING CLAIMS FOR INJUNCTIVE, DECLARATORY, OR EQUITABLE RELIEF), SHALL BE RESOLVED BY BINDING ARBITRATION. CLAIMS SUBJECT TO ARBITRATION INCLUDE CLAIMS THAT ARE MADE AS COUNTERCLAIMS, CROSS CLAIMS, THIRD PARTY CLAIMS, INTERPLEADERS, OR OTHERWISE. ARBITRATION REPLACES THE RIGHT TO GO TO COURT, AND YOU THEREFORE AGREE TO WAIVE ANY RIGHT THAT YOU OR WE MIGHT OTHERWISE HAVE HAD TO A JURY TRIAL OR THE OPPORTUNITY TO LITIGATE ANY CLAIMS IN COURT BEFORE EITHER A JUDGE OR JURY. YOU FURTHER AGREE THAT YOU WILL NOT BE ABLE TO BRING A CLASS ACTION OR OTHER REPRESENTATIVE ACTION (SUCH AS AN ACTION IN THE FORM OF A PRIVATE ATTORNEY GENERAL) TO LITIGATE ANY CLAIMS IN COURT BEFORE EITHER A JUDGE OR JURY; NOR WILL YOU BE ABLE TO PARTICIPATE AS A CLASS MEMBER IN A CLASS ACTION OR OTHER REPRESENTATIVE ACTION IN ABITRATION OR IN COURT BEFORE EITHER A JUDGE OR JURY. IF THE PRECEDING SENTENCE IS NOT ENFORCED FOR ANY REASON, THEN YOU AGREE THAT IN SUCH CASE ANY CLASS DISPUTE WILL NOT BE RESOLVED THROUGH ARBITRATION.

    So is it normal to waive your constitutional right to a judge and jury?? I'm a bit fuzzy on this, and I don't trust CC companies any further than I could throw my truck.

    Input or explinations appreciated​
     
  2. saddina

    saddina Internally Deranged

    May 2, 2009
    Desert, CA
    It;s a common clause, not saying it's right, just that it is.
     
  3. eggchel

    eggchel Overrun With Chickens Premium Member

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    Ive heard that all the credit card companies are changing their terms, raising their rates, reducing credit limits, etc.
     
  4. Goose and Fig

    Goose and Fig Grateful Geese

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    They are going to try to sock you with all kinds of fees and rate changes now before the new regulations go into effect. [​IMG] They should have made the new laws effective immediately instead of giving them time to stick it to the consumers.
     
  5. FireTigeris

    FireTigeris Tyger! Tyger! burning bright

    You can call them and see if there's other available contracts, or you can start looking for better cards, BoA is adjusting to the new rules- bass-stars got us twice for paying late by 2 hours (well once it was 4 hours but I digress).

    We try to keep such small balances that if we needed to we could sell something and pay "everyone" (CC's only) off (temporarily at least) then go shopping for the best deal - again
     
  6. Tala

    Tala Flock Mistress

    Quote:Actually for the most part it seems like they're all just going to the market variable rate. Which sucks really, because I have really good credit and [used to] have great fixed rates.
    We're in the process of paying everything off again, since I have a job again.

    Oh, US bank charged me a $10 fee for paying by phone [​IMG] but I don't think that's a new fee.

    WFNNB is going to start charging $1 for every paper bill they send. I think I'm canceling that card.
     
  7. debilorrah

    debilorrah The Great Guru of Yap Premium Member

    Arbitration is common in any credit card agreement. It means that you will participate in mediation before filing a lawsuit.
     
  8. cndula@elp.rr.com

    [email protected] Chillin' With My Peeps

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    They use the term "BINDING ARBITRATION". That doesn't mean arbitration before a lawsuit, that mean arbitration INSTEAD of a lawsuit.
     
  9. jafo

    jafo Chillin' With My Peeps

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    No where in there does it say anything about "BY SIGNING HERE" OR BY CONTINUED USE ETC ETC" # 1 they are trying to spoof you into accepting that they can (but actually CAN NOT) stop you from bringing litigation against them in a court of law. By them changing the terms of your original agreement with them, the one where you actually signed the contract to GET those credit cards, they have breached the original contract, and most likely in the notice you received, were given the option to "opt out" Whereby you have the right to freeze any and all transactions, kill the card(s) and continue to make payment(s) either in full or with the original contract, at that interest rate, monthly, until paid. #2 You should apply for card(s) at a credit union, or other place, like your bank if you need to, with a FIXED RATE ONLY. There are a lot of them around. Our CU interest rate on our card is 10%, fixed. #3 you should familiarize yourself with "The Fair Credit Reporting Act " of (I think it's new every year) whatever year it was LAST printed, and the Articles of the UCC. The world, and all commerce runs by the UCC. That you can get copies of at your states Secretary of State . And if you really want the truth in lending practices, get a copy of "The Creature From Jekyll Island." Banks, and everything about them is fraud, including cedit cards, and credit card companies. The bad part, is most Americans need, or just plain use them. The good part, is some banks / credit unions / credit card companies aren't as BAD as others. Hope this helps, good luck! [​IMG]
     
    Last edited: Dec 13, 2009

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