Credit Cards - Posted by Ryan (NC)

Posted by Rolf on February 08, 2008 at 19:35:39:

You too?

Credit Cards - Posted by Ryan (NC)

Posted by Ryan (NC) on February 08, 2008 at 08:29:31:

Found something interesting on the news today…

Had a fixed rate card jump from 7.9% to 32% on something around 12k in the later part of 2007 with the company in the link above… Guess I carried a balance for too long from a few rehabs we’d done. Needless to say there is no balance on the card anymore but buyer be warned, this looks like a new business practice for CC companies!

Best wishes,
Ryan Needler

Re: Credit Cards - Posted by Celeste-fl

Posted by Celeste-fl on February 10, 2008 at 03:15:05:

I also saw this and was waiting for the jump.I was going to pay it off when it happen,but I get my statement on sat and my % has drop from 9% to7% without even asking for it.Strange,but I,ll take it.

Interesting - Posted by Tony Colella

Posted by Tony Colella on February 08, 2008 at 11:50:36:

I find it interesting that Bank of America has taken such a hard line stance on a performing asset yet I believe they are in the process of buying Countrywide which as going to go belly up for non-performing mortgage assets.

Sometimes bankers make me go hmmmmmm…???


Re: Credit Cards - Posted by Don-NY

Posted by Don-NY on February 08, 2008 at 09:04:37:

Wow Ryan! Talk about putting a dent in cashflow. Fortunately We are not carrying a balance right now. But I was thinking about applying for another card (only have 1 now). For access to some operating capital. Then playing the low interest balance transfer game. Now I’m having second thoughts.

Re: Interesting - Posted by Ryan (NC)

Posted by Ryan (NC) on February 09, 2008 at 21:16:10:

I just learned about the country wide thing last week and it makes perfect sense timing wise if you need extra cash to make a big purchase… In talking to other investors this has happened to at least 2 other people from this site which is in part why I posted the information…

You would think that in the 8 or 9 years that I’ve had this card I woulda earned some sorta good customer standing or something… Nope. If anyone else here does have a balance on a BoA CC be prepared to pay it off in full very quickly if needed… One quick point from a credit standing point of view, if you do pay off BoA or have a card w/o a balance DON’T close it without serious thought as it may bring down your credit score if you have a decent size open limit with a long period of time holding the card.

Best wishes,
Ryan Needler

Re: Interesting - Posted by Sailor

Posted by Sailor on February 09, 2008 at 11:27:43:

B of A has always had an an*l-retentive corporate culture. I’ve been trying to get out of their clutches for decades, but they keep buying my banks! Now I have so many direct deposits coming in & payments going out every month of the acct we’ve had since 1967 that I fear it is a lost cause. I would never voluntarily do biz w/them.


Re: Interesting - Posted by MobileHomeJoe

Posted by MobileHomeJoe on February 08, 2008 at 23:04:22:

Bankers often defy common sense and logic because of three principal facts:

  1. They get promoted and rewarded for making the big deals happen and taking risks that could bring huge upside - at least on paper.

  2. They are playing with other peoples’ money for which they have little/no accountability.

  3. They can always get more money when/if they need it. How many banks (no loan companies) have you seen go bankrupt?

If banks couldn’t just borrow (a.k.a. print) more money and had to run things as a real business would, you’d see an entirely different set of behavior.

But for now, and really since they first came into existence, banks are king.


Re: Credit Cards - Posted by Mike (Seattle Wa)

Posted by Mike (Seattle Wa) on February 11, 2008 at 14:32:50:

Gotta be really careful with credit. The banks can change the rules on a whim and if you are found over-extended, it can really hurt. I had 2 of my biz LOCs all but closed on a whim - roughly 50K of credit instantly gone. Luckily, I wasn’t carrying a balance on them at the time nor did I need the funds. If I had though…

Re: Credit Cards - Posted by Brian

Posted by Brian on February 08, 2008 at 13:35:02:

That doesn’t look good. I’ve financed my business on BofA credit cards. :frowning:

Re: Interesting - Posted by Sailor

Posted by Sailor on February 09, 2008 at 11:29:47:

Another case for requiring all high school students to take Consumer Finances 101.