?s about credit cards interest rates crackdown

Discussion in 'Random Ramblings' started by EweSheep, Apr 23, 2009.

  1. EweSheep

    EweSheep Flock Mistress

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    I've heard on the CNN news that Pres. Obama wants to crack down banks that jack up the interest rates and I have a question or two about it.

    Would it affect my local bank?

    I have debit card and hubby thinks the newly increased fees on bounced checks, overdrawn funds, etc. etc. statment we got from our bank, was part of the crack down and they must go down.

    To me the fees from the bank, for example, charged 15 dollars for each charge bounced or overdrawn and now its 39 dollars per charge bounced or overdrawn. Would the federal government take a look at those fees too???????? Or is it normal for the bank to pass on the fees to cover their own needs? I know its not fair but did not know if it was legal for them to raise the fees pretty high.

    Which is which? The credit cards bank (Bank of America, etc.) or our usual debit/credit cards from our local banks????????????
     
  2. debilorrah

    debilorrah The Great Guru of Yap Premium Member

    My bank was jus taken over by Chase and lo and behold this morning I have two ATM charges - I never took money out but they are charging me a fee for using my card at stores. Time to change!!
     
  3. Bluemoon420

    Bluemoon420 The Rooster Queen

    Ours only charges when we use the debit card as a debit card. If we use it as a credit we don't get charged. They do charge 39 dollars for over draft fee. I don't know if debit cards will be included in this credit card crackdown because they technically aren't credit cards. Who knows...[​IMG]

    Bluemoon
     
  4. EweSheep

    EweSheep Flock Mistress

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    I sure hope so because it was too big of an increase of fees. I know people are hurting but come on! For a five dollar overdraft, you should not have to pay $39.00 fee PLUS the $5.00 charge you overdrawn! [​IMG]
     
  5. Calebs Acre

    Calebs Acre Chillin' With My Peeps

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    Credit cars and debit cards are different things. What seems to be happening is that credit card companies where people have revolving, unsecured lines of credit, are using any excuse they can to bump up the interest rates because the issuing banks are greedy and they want to cut their exposure by having less money owed to them...people will stop spending if the interest rate is so high and others will cancel their cards.

    American Express recently offered $250 or some number close to that to certain customers if those customer would voluntarily close their AmEx accounts.

    A debit card is a totally different animal. In order to try to cut down on the ability to bounce checks and so we will be a more electronic age, the debit card was brought out. It is really a check card run through the credit card systems. But, it is difficult to overdraw your bank account using a debit card, unless you have a special account with overdraft protection, so banks aren't actually extending credit.

    What is being battled right now is allowing credit card companies to initiate interest rates that are 30 times the cost of credit. The government needs credit to loosen up so people will start to spend again and help the economy.

    I don't think bank fees will be a part of this intial attack, if ever.
    Make sense? Sometimes I just ramble senselessly.

    Nancy
     
  6. Bluemoon420

    Bluemoon420 The Rooster Queen

    Quote:Yeah, I agree. I think they charged DH 39 bucks for 5 cents. That's just stupid [​IMG]
     
  7. EweSheep

    EweSheep Flock Mistress

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    Sometimes technology does not help the debit card users all that much until it was too late. Somewhere in the lines of time frame, you can debit your cards on the amount you did have (if you did check with the bank balance at the time you visited your bank) and then the next day, you were in the minus even you knew how much you were charging. As for us, the automatic payments to certain companies are bad because they dont charge on the same date but sometimes early as five days before due date and others are like a day or two late.

    But all in all, its the fees that are crazy!
     
  8. Dogwood Farm

    Dogwood Farm Out Of The Brooder

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    This is why I have set up on our Checking accounts overdraft protection. We have an account that we can write checks out against that is simular to a credit card but you write a check. If I do overdraft it goes into that account and takes $100 not just what I overdraft it takes a minum of $100 or more if needed to cover the check. Then the bank charges me $7 for doing it. A lot less then if I would have bounced a check.
    I have been watching and trying to make sense out of what they are saying also on the credit cards.
     
  9. Bluemoon420

    Bluemoon420 The Rooster Queen

    I never used a credit card. I wasn't raised that way. Basically, it was drilled into our heads.."If you can't pay cash, you don't need it. The only things that should ever be financed are a house, and maybe a car if you really need it." I'm kinda glad it was drilled into our heads because it turned out to be the smart thing to do.


    Bluemoon
     
  10. Sunny the Hippie Chick

    Sunny the Hippie Chick Chillin' With My Peeps

    Sep 8, 2008
    Brookings Oregon
    Quote:Oh no.. We have the same bank.. I havent noticed any extra charges yet.. But they said the full change is the beginning of next month. (May) I will have to keep an eye on my account closely.. If they do start charging more.. It will be time to locate a different bank.. But I think my choices are to small.. I wont use one bank at all.. So I do believe I have only one other choice around here.. I guess I will have to pick the best one.. Oh darn.. I thought I had found a decent bank..
     

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