Posted by pan/nd on 10/11/07 9:00am
Msg #215926

OT--Discover Card ripoff.

I've used Discover for Notary expenses..gas..whatnot..for seven years.

Been a member in good standing since 1986.

I got a notice in the mail they are raising my interest rate up to 22% from about 12%.

My payment is automatically taken out of my account every month and has been for many years.

Credit score is in the 700's.

I called and they said..basically, "get lost."

It's company policy and not a result of anything on your credit report, they said.

I've got 10K on the card and the credit line is 20.

At least they gave me a month and I have other outlets..so I'm not stuck and don't have to play their game.

I 've heard about it happening to others but never figured I'd get shafted by them.

WRONG

Reply by Blueink_CA on 10/11/07 10:24am
Msg #215950

I've had trouble with Discover also, see my post #204981 from Aug.

Reply by Philip Johnson on 10/11/07 10:43am
Msg #215965

Check this link.

http://consumerist.com/consumer/complaints/discover-randomly-raises-400000-members-apr-to-remain-competitive-309517.php

Reply by Linda_H/FL on 10/11/07 10:45am
Msg #215967

Re: Chase did that to us in March...

sent us a notice that as of 5/1/07 our rate was going up from 7.99% to 15.99% - called and asked what they could do for us as we'd been in good standing for years and, like you, timely payments, higher balance and high credit limit - the best they'd do for us is 11.99% - we declined and closed the account.

Reply by Linda_H/FL on 10/11/07 10:46am
Msg #215968

Re: Forgot to mention - excellent credit, too n/m

Reply by Charles_Ca on 10/11/07 11:11am
Msg #215978

Discover Card ripoff~That's a heck of a jump!

I've never had a Discover card becasue I detest anything having to do with Sears. Of course I don't like plastic, period. I have a couple of cards I carry for emergencies but the only plastic I use regularly is my ATM card. All of their credit agreements are so skewed to their benefit that unless you pay it off every month you are better off getting a line of credit from other sources such as equity or credit against a deposit account. From my credit union my money only costs me 2% to borrow if it is secured by savings, or CDs, a heck of a deal!

Reply by Tula/MI on 10/11/07 11:41am
Msg #215984

Discover canceled mine for lack of use, when I did use it I paid the balance every month.

Mother who is 90 uses her Discover card for all her monthly expenses then pays it off each billing. She has had an account since Hector was a pup, and has always paid this way her rate is also 22% as of October. Next Discover will stop giving $$ back.

Reply by Richard Brockmann on 10/11/07 12:46pm
Msg #216011

check their fine print in the notice.....sometimes....

it will tell you that you can refuse to accept the increase in rate but you must not use the card any more.....if you do that you can still pay it off on time at the old interest rate...if you use it the rate will automatically jump to the new rate......do not cancel the card as it can affect your credit score.....i have a fia card that they tried that on....i sent them a notice in writing that i refused to accept the increase in ratye and stropped using the card.....my interest rate stayed the same and the card is still good, but if i use it the rate kicks up.......my .02 cents

Reply by MelissaCT on 10/11/07 12:53pm
Msg #216015

Re: Citibank

did that in 2004 - they switched from fixed to variable. I declined to accept the offer, so I was entitled to continue paying the balance at the fixed rate, but the account was closed by them.