more "unintended consequences"; credit card fee's

[Peevo]

Thanks for your help guys. I'm in a weird spot, cause I feel the only reason I need to take on credit is to build my score. I can afford rent/car/utilities with my budget as it is.

 

But at my age its important to build one's credit, I just to do so carefully. I'm obviously not gonna buy a $5,000 HDTV ya know. Even though that'd be sweet haha.

[Magox]

Thanks for your help guys. I'm in a weird spot, cause I feel the only reason I need to take on credit is to build my score. I can afford rent/car/utilities with my budget as it is.

 

But at my age its important to build one's credit, I just to do so carefully. I'm obviously not gonna buy a $5,000 HDTV ya know. Even though that'd be sweet haha.

Building credit is important. You can buy your necessities with credit, and just pay it off at the end of the month. That way there you don't pay interest and you get to build your credit.

[ExiledInIllinois]

Thanks for your help guys. I'm in a weird spot, cause I feel the only reason I need to take on credit is to build my score. I can afford rent/car/utilities with my budget as it is.

 

But at my age its important to build one's credit, I just to do so carefully. I'm obviously not gonna buy a $5,000 HDTV ya know. Even though that'd be sweet haha.

 

IMO, the only thing you need credit for is the house and MAYBE a car. What else do you need it for? I think of my parents before 1980... I can't remember them ever having a credit card.

[erynthered]

IMO, the only thing you need credit for is the house and MAYBE a car. What else do you need it for? I think of my parents before 1980... I can't remember them ever having a credit card.

 

 

Yeah walking around on Vacation with 2 or 3 grand in cash in your pocket is really a good idea.

[Fezmid]

Yeah walking around on Vacation with 2 or 3 grand in cash in your pocket is really a good idea.

 

Travellers checks?

[ExiledInIllinois]

Yeah walking around on Vacation with 2 or 3 grand in cash in your pocket is really a good idea.

 

Vacation? Who took that many vacations? 2-3 grand? Anway... Weren't traveler's checks the norm? I remember using traveler's checks in the 1980's camping with the Scout's in NM. Now, I am on the lift skiing and I hear said Echo-Boomer call mommy on the cell and say: "I lost my debit card, don't worry, just call the bank and cancel."

[erynthered]

Travellers checks?

 

 

Yeah, I know. I was leaning more so toward having a credit card, and building his credit score.

[erynthered]

Vacation? Who took that many vacations? 2-3 grand? Anway... Weren't traveler's checks the norm? I remember using traveler's checks in the 1980's camping with the Scout's in NM. Now, I am on the lift skiing and I hear said Echo-Boomer call mommy on the cell and say: "I lost my debit card, don't worry, just call the bank and cancel."

 

 

Never been to Europe, eh?

[Fezmid]

Vacation? Who took that many vacations? 2-3 grand?

 

What vacations do you take that DON'T cost that much!?! Take a 2 week vacation, your hotel alone is going to run about $1,400, and that's for a pretty average hotel!

 

My 2.5 week Mediterranean cruise trip is going to easily cost us $2-3k on top of the hotel costs (we're spending a few nights in Barcelona, otherwise the rest is on the cruise). We're looking to take a 2 day private tour in Egypt and that's $800 for both of us - cash only.

 

Expand your horizons a little.

[ExiledInIllinois]

What vacations do you take that DON'T cost that much!?! Take a 2 week vacation, your hotel alone is going to run about $1,400, and that's for a pretty average hotel!

 

My 2.5 week Mediterranean cruise trip is going to easily cost us $2-3k on top of the hotel costs (we're spending a few nights in Barcelona, otherwise the rest is on the cruise). We're looking to take a 2 day private tour in Egypt and that's $800 for both of us - cash only.

 

Expand your horizons a little.

 

I don't know... I must do things on the cheap. Drove down to FLA and took the wife and children to Disney World, then up to BFLO... Only spent around 1700 bucks... That is hotel and Disney for 3 days.

 

But back on topic... IMO, vacations should never be put on credit unless you are going to pay them right back... This is what has gotten our consumer culture in a big mess! Of course IMO.

 

I expand my horizons... Europe is a fine thing to do... You just didn't hear too much of the common person taking those trips back in the day. We must be doing better as a society. It took my in-laws 30 of marriage before they took an international trip.

[GG]

To bump this up, I'd like a random straw poll to see if people's credit card fees & charges went up since this wonderful law's passage?

 

I've paid about $70 more in fees & interest over the last six months, which is exactly $70 more than I paid before the law passed. Why? Banks eliminated the overdraft programs they used to have and now an overdraft is a cash advance against the credit card, with fees & interest kicking in at the outset. That, plus other little rules that call for tighter payment term windows.

 

Did Congress really think that the banking industry was going to wave $30 billion in revenues goodbye?

 

Congratulations, idiots.

[jjamie12]

To bump this up, I'd like a random straw poll to see if people's credit card fees & charges went up since this wonderful law's passage?

 

I've paid about $70 more in fees & interest over the last six months, which is exactly $70 more than I paid before the law passed. Why? Banks eliminated the overdraft programs they used to have and now an overdraft is a cash advance against the credit card, with fees & interest kicking in at the outset. That, plus other little rules that call for tighter payment term windows.

 

Did Congress really think that the banking industry was going to wave $30 billion in revenues goodbye?

 

Congratulations, idiots.

I don't know how much you've looked into this one, but the Durbin Amendment is poised to do way, WAY, more damage to banks than this credit card stuff...

[Dan]

To bump this up, I'd like a random straw poll to see if people's credit card fees & charges went up since this wonderful law's passage?

 

I've paid about $70 more in fees & interest over the last six months, which is exactly $70 more than I paid before the law passed. Why? Banks eliminated the overdraft programs they used to have and now an overdraft is a cash advance against the credit card, with fees & interest kicking in at the outset. That, plus other little rules that call for tighter payment term windows.

 

Did Congress really think that the banking industry was going to wave $30 billion in revenues goodbye?

 

Congratulations, idiots.

Switch banks and/or credit cards. I haven't seen any increases in my transaction fees. I really dislike the logic that if you do regulate the industry they'll charge you more; therefore, you shouldn't regulate them. Not every bank has increased their fees, my small local bank hasn't. Use your power as a consumer, switch banks and tell them why. If enough people did that the bigger banks would catch on and lower their fees again. But, I guess it's just easier to pay the extra money and complain about it.

[GG]

It is more a commentary than a complaint. Of course I can switch banks. But you may have read a story yesterday that banks are exploring adding more fees on everyday services. If big banks continue to pile on fees, they'll have even a bigger advantage over the smaller banks. So while the small banks can draw customers with better service & free checking, they can't compete on a cost of capital, so let's hope they have benevolent shareholders who are ok with lower returns.

[TPS]

It is more a commentary than a complaint. Of course I can switch banks. But you may have read a story yesterday that banks are exploring adding more fees on everyday services. If big banks continue to pile on fees, they'll have even a bigger advantage over the smaller banks. So while the small banks can draw customers with better service & free checking, they can't compete on a cost of capital, so let's hope they have benevolent shareholders who are ok with lower returns.

I thought that was the "new normal"?

[Magox]

Switch banks and/or credit cards. I haven't seen any increases in my transaction fees. I really dislike the logic that if you do regulate the industry they'll charge you more; therefore, you shouldn't regulate them. Not every bank has increased their fees, my small local bank hasn't. Use your power as a consumer, switch banks and tell them why. If enough people did that the bigger banks would catch on and lower their fees again. But, I guess it's just easier to pay the extra money and complain about it.

I spoke in detail about the ramifications of this bill before it was even passed and if you wish you can take the time and read back through this thread about the "unintended consequences" of not only the bill in general that I spoke about but the Durbin Amendment. It's all there. And by the way, I have seen my fees go up and they specifically mentioned the CC bill as the reason for the increase. Of course I cancelled a couple of my cards, no biggie for me as I dont owe a single dime in credit.

 

In short, people with good credit are subsidizing the costs of credit for those with not so great credit.

 

Make sure you read up on the Durbin amendment, it's gonna punish both consumers and the banks, and I know it's vogue to hate on the banks, but the sad reality is if banks make less money, then that means there will be less lending and at higher rates. Symbiosis

Edited February 21, 2011 by Magox