JPMorgan Chase And Company
Interest rate raised from 9.9% to 29.9% despite perfect record

I found a huge surprise when checking my Chase credit card statement this evening: a whopping 20% interest hike from my 9.99% prior rate. That has put my interest rate with Chase to an astronomical figure of 29.9%. My minimum payment raised from around $178 to $334 and my interest payment went from $56 to 230$! I have made every single payment at least 10 days early, always made my payment for hundreds of dollars more than my minimum payment, and they had just raised my credit limit from $7,000 to $12,800.

Due to the fact that I have summers off I have been using my credit cards a lot for travel. I also do carry a higher credit balance than I should, as do most people in this country. However, I have NEVER made a late payment to any of my accounts, have never gone over my credit limit, and always pay over the minimum payment to every one of my credit cards. My credit is perfect but for my being in debt.

When I called Chase they explained to me that after review of my new credit report they found that my balances were too high so they found me a higher credit risk. I wonder if so much had changed since they offered me a $5,000 limit increase a month ago? So, without notifying me, they raised my finance rates from my understanding of 9.9% for the life of the card, unless I defaulted by not paying or going over the limit, to an unbelievable interest rate of 29.9%. The option they gave me was to either pay the 29.9% interest on my entire balance or close my account and pay the 9.9%. I, of course, opted to close my account and pay them 9.9%!

I honestly had no idea that they could just decide at whim to raise that rate without any type of notification or explanation. However, now I will simply pay off this card and put Chase on the top of my list to never patronize again! I find it interesting that they would raise the rate on a person who was considered "at risk" (though I am not) to such an astronomical figure. What if I was a person who could not afford the debt she acquired? Would this strategy help? I think not! How is this legal? I can see them deciding to raise my interest rate on further charges to discourage me from spending, but on all of it? I would never have used that card if it weren't for the 9.9% rate! I have striven to have all my cards under 10% interest.

Well, lesson learned! No more credit cards for me. They will all be paid off asap and no longer used EVER!

Company: JPMorgan Chase And Company
Country: USA
State: Delaware
City: Wilmington
Address: P.O. Box 15650
Phone: 8004323117

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