J P Morgan Chase Bank issued 2 credit cards to my husband with limits of $1,000 & $500. He was pre-approved on both. The $1,000 was issued with a fixed rate of 7.99%. It has a balance of $800. His FICO score is 765 (probably higher since we prematurely paid off a Car financed through Chase. Now they have raised the 7.99% rate to 22.24%. I called and the reason given for the hike is, "He has a high balance of $800 on his card." We closed it so we don't have to pay the higher rate until it is paid off. So it boils down to this. If Chase offers you a card at a low rate, don't use it or they will use that as an excuse to raise the rate. We have NEVER been late on any payments. We both have outstanding credit. I did ask if this was their usual tactic. Chase responded with a "YES!"
Beware the "gift horse."
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