The Banks must be Stopped!

As we all know, the economy is in the dump with no relief in sight. In fact, it is only getting worse as we sink more and more closely to the dreaded “d” word, depression.

My wife and I have several credit cards like most Americans. We pay our bills on time, always paying above minimums. We shop to get the good rates and favorable terms, that is until recently.

In the last ~60 days, we have received several notifications that our interest rates are increasing and/or our credit lines are decreasing. We have good credit, never missed a payment, always pay above minimum, and yet, even on cards we do not have a balance we are seeing our rates moved from fixed single digit rates to double digit variable rates.

A couple of the cards claim that they ran our credit and that is the reason for the increase of rates and decrease of credit line. However, our credit score is higher now than it was when we were issued the card, so that reason is completely bogus.

Closing the account is not a viable option since that hurts our credit score.

This irresponsible behavior, tightening of credit without cause is only going to further the economic crisis. We are, without cause, being charged more for the same credit. It is like a double inflation. Credit costs more, the dollar is worth less, and yet, without credit and a strong dollar, the American economy will never recover.

Credit companies must be held responsible for their actions. Consumers need more options for recourse when adverse actions are taken without notice or explanation against their accounts. Closing the account isn’t feasible since it hurts the credit score of the consumer.

Either this behavior is stopped, or the economy will continue to falter. When faced with higher interest rates for no reason, and lower credit terms, do you honestly think the consumers will be willing to spend any rebates or refunds? Of course not, we will be too busy trying to pay down our increasing debt load despite no spending or reckless actions on our part.

Write your representation now!