Don't finance your teardrop build on your credit card...

[mikeschn]

Don't finance your teardrop build on your credit card...

Double trouble
By the end of 2005 every major credit-card company is expected to double the minimum monthly payment on consumers’ bills. Federal regulators pressured them to do so because of their concern about the growing mountain of consumer debt, which stands at $2.13 trillion. Many consumers focus on the tiny amounts due, rather than their actual balance and how long it will take to pay off if they send in only the minimum payments. The issue arose two years ago when the Comptroller of the Currency and four other agencies told credit card issuers that they have to start collecting enough each month to cover interest, fees and a “reasonable’’ amount of the balance due. Most cards are expected to raise their monthly minimums to 4 percent of the balance, from 2 percent to 2.5 percent now. The transition will not be easy for many heavily indebted consumers.

From The Miami Herald

[toypusher]

Fits right in with rising gas prices! What next! I don't use my credit card very much and always pay it off ASAP!

Kerry

[Gage]

I use my credit cards only if I know I can pay them off 30 to 60 days after use. It was a different story when I was in my 20's and 30's

Have a good day.

[Arne]

They ran through that on 60 minutes a while back. Some big shot got the idea that if they made the minimum payment low, they would make more money on interest.... and they sure did.... so much the gov't finally looked into it.

[TRAIL-OF-TEARS]

wooh hoo, I just paid off the Big card. now to widdle down the other. By the end of the year I should be down to house, land, and truck payments.

[twc3]

I paid them all off and Cut them up 2 years ago.

The Min. Payment is/was a scam only to benefit the C.C. Company. The Idea was that you would never pay the balance owed or it would take you a lifetime to do so thus the C.C. Company would make lots of money. OH don’t be late…They will get you for even more.

Now I only spend what I have in my checking via Debit Card. My debit card works 99 % of the places I have ever conducted business except Hertz rent a Car now I use Budget.

TC

[Larwyn]

I destroyed all my credit cards a few years ago. I no longer spend my check in advance, but now, what I do spend goes into whatever I am buying. And, I get to keep the credit card companies' "share".........

Might have to wait a little longer to gather the cash for some things but that is not always bad. Many times, by the time the money is available, I no longer want what I thought I "had to have".

Here they have one weekend, right before the schools open, that is tax free (sales tax) on certain items. It amazes me that people will load up their credit cards to save on sales tax, all the while paying many times the tax amount in interest charges.

Living debt free..!!!

[Jiminsav]

I'm so poor. I can't pay attention, let alone credit card bills..did the same as Lawyn did about 5 years ago and haven't missed much yet..i hope visa and master card rot in heck.

[Geron]

I still use one but pay it off in the grace period. Got only one I use and it pays me back 1% for everything I spend. I ususally just wait till it's $200 - $300 dollars and just apply it to one months bill.

I know, the retailer has to raise prices to provide CC services but I'd have to pay the extra even if I didn't use the card. So I just get 1% back.

The increased payments wont affect me.

g

[asianflava]

I destroyed all my credit cards a few years ago. I no longer spend my check in advance, but now, what I do spend goes into whatever I am buying. And, I get to keep the credit card companies' "share".........

Boy, I wish I could do that. I moved all the card balances to one card that has a low interest. I typically use debit but I have to keep one of the others because I find it hard to book airline tickets, rent cars, etc without a real credit card.