‘Millions of Americans who carry credit-card balances wonâ€™t benefit from the latest Federal Reserve cut. Thatâ€™s because their variable-rate accounts have already hit â€œfloors,â€? or minimum interest rates, and lenders wonâ€™t let them fall any lower.
Meanwhile, the average rate charged on standard, fixed-rate cards in the past year has actually gone up.
Welcome to the topsy-turvy land of credit cards, where fixed rates change and variable rates donâ€™t.
Logic-defying interest charges are just the latest trend in the credit-card wars, where lenders fight each other savagely for market share and then stick their customers with the bill. As I wrote in the two previous columns, “Don’t fall for these stupid credit-card tricks” and “4 scary new ways creditors gouge you,” lenders increasingly rely on new fees, surprise interest-rate hikes and other â€œgotchasâ€? to improve their bottom lines.’
Read more at More games the credit-card companies play:
- New Web Site Offers Free Analysis to Find the Best Rates for Credit Card Merchant Account Processing
- Hotel clerk accused of stealing guests’ credit card numbers
- Gov’t won’t lower top rates for credit cards in China
- Visa launches mini credit card
- Credit card scam plays on emotions
- Watchdog slaps warnings on drastic plastic credit charges
- DoCoMo, Mizuho Bank to team up in credit-card enabled cell phones
- Default fees cap could hit credit card firms for £400m
- CREDIT CARD SCAM …Over $100,000 made in illegal purchases
- Thailand Credit Card Market Becoming Saturated