What the Fuck is Wrong With These People - Credit Card Companies

Friday, December 4, 2009
You all know what I think about the credit card industry. If there's a hell, I think those who make policy for these businesses have achieved a special place there, complete with a bed-o-nails and daily catheter insertions for the men and continuous labor and/or PMS for the ladies. The ways in which they suck just cannot be overemphasized, and a recent report from Frontline called The Card Game helps to emphasize just how their cupidity feeds their evil vortex of suck and victimizes those least able to protect themselves.

Even the new Credit Card Act of 2009 doesn't do much to rein in their predatory ways. These motherfuckers are spending the nine month window between the signing of the act on May 22, 2009 and its enactment in February 2010 reshuffling their rules, bending fee schedules to their will, and generally doing everything in their power to ensure that their profit margin won't be affected by the new "consumer protections." Then they use the legislation to JUSTIFY THEIR GREED AND TRY TO SAY THAT THE HIGHER INTEREST RATES, FEES AND OTHER ASSHOLERY IS THE FAULT OF CONGRESS. GRR.

Sorry about that. They're evil, evil, evil.

I have a Mastercard with AT&T Universal, which was issued by CitiBank. I've had this credit card since 1991. My credit rating is 820. I have never been late with a payment, and I pay the statement balance in full, promptly each month. I have no revolving debt, no car payment, no debt at all with the exception of our mortgage on the Big Yellow House.*

So on November 30th, I went to pay this bill, like I do every month. And I noticed something strange - my interest rate was 25.99%. 25.99%. Needless to say, I called AT&T Universal to inquire about the outrageous rate. Turns out that AT&T changed my payment date from the 5th of the month to the 30th of the month. They did this during the 9 month window between the passing of the Credit Card Act of 2009 and its enactment, after which they would have been prevented from this activity. As a result, my practice of paying this bill on the last working day of the month ensured that my July payment (placed by me on July 31st) was a day late, making me in default of my cardholder agreement, and giving them the right to up the interest rates in penalty.

I explained to the agent on the phone that I am paid on the last working day of each month, and my practice of paying this bill on payday was never an issue before, in all the years I have been a customer. I wanted to know how come I was being penalized after being a loyal customer since 1991. Her response? "If you've been a customer since 1991, then you knew that a violation of the agreement would result in us raising your rates." Translation: "Fuck you, consumer. We're within the letter of the law, and you can suck my big, fat profit margin. We made bad decisions about who to issue credit to, and rather than pay for our mistake, we're going to make you pay. Don't like it? Tough shit."

I escalated the issue, of course, and the supervisor "forgave" the transgression, refunded the interest, and changed the due date on the account back to the 5th. The reason they did so, of course, is because my reaction to their "policy" was they could either fix this shit, or cancel the card. Since I carry no balance, they had no leverage. Had I been one of the millions and millions of Americans who routinely carry a balance, you can bet your Free Credit Report the supervisor also would have given me the "fuck you" answer. I would be stuck with paying 25.99% interest because I was lackadaisical about checking the hundreds of mailings sent to me by AT&T Universal each year.

Now I'm not implying here that AT&T Universal did not act within the letter of the law. I'm quite sure I did in fact receive "notification" of their "change" to my billing cycle, and there's no doubt I paid the July bill one day late based on their "compliance." I was lackadaisical because I do pay in full each month, and honestly, I don't give a good goddamn what interest rate they charge me, since I never pay any interest anyway.

But there's also no doubt in my military mind that part of this company's profit retention strategy was to use analytics to determine my payment schedule, and then recommend a change to my payment schedule that would result in my being in default. NO DOUBT IN MY MIND.

There's also no doubt in my mind that every for-profit credit card issuer on the planet is guilty of exactly the same thing, and are frantically scrambling to ensure their fees, interest and other profit-generating strategies are ready for the effective date of the Credit Card Act of 2009. No doubt.

Fuck you, CitiBank. Fuck you, Capital One and the rest of your evil brethren. You will not manipulate me into paying you interest. WILL. NOT. Next week I will apply for (and receive) a credit card from my Credit Union, who are actually, you know, REGULATED.


*Yes, I realize this makes me a very undesirable customer for a rotating credit issuer. But I'm emphasizing that I pay my bills on time, every time.

7 comments:

The Mechanicky Gal said...

And when they start to charge me for paying my bill on time and in full every month, my credit card company will get a HUGE fuck you and I will either go elsewhere or have none. Which would really suck, but I am SURE there is a credit card out there that will want my business.
I hope.
Isn't there?
Help?

Janiece said...

MG, try NFCU. I know they issue credit cards, and Credit Unions have much tighter regulations on such things than for-profit companies.

Warner (aka ntsc) said...

It isn't just the credit card companies playing this game.

Our utility (electric and gas) is due on the 11th, on the back of the bill in fine print is the statement that they take two business days to process payment, including electronic payments. So if you pay on the 11th, it isn't credited until the 13th and they charge a 2% interest per month and late fee processing charge.

Warner (aka ntsc) said...

Then there was the credit card company that offered me a rate of 2.99 % per year on a cash advance and sent me the blank check.

I bought a car using it, it was 2% better than the dealer could do.

You bet I check that bill monthly. Although they haven't done a single thing to jigger it.

Steve Buchheit said...

IF you pay your bill off every month, it's not like they still aren't making money on you by taking a 2-5% discount on your purchase and charging the merchant a standard fee for the transaction, sometimes referred to as a "swipe charge" - not a truer tag could have been found for that.

Janiece said...

Steve, you said it, brother.

mom in northern said...

Yep...
They are no better than the MOB.

They just work in nicer surroundings and don't carry guns.

Where is Elliot Ness when you need him...