Fsa say banks shud increase rate!!!

bobsky_2

My bank say: FSA- banks should increase rate on cards to encourage people paying off their debts quicker....has anybody heard of this before??

Paulgonnabedebtfree

bobsky wrote: »

My bank say: FSA- banks should increase rate on cards to encourage people paying off their debts quicker....has anybody heard of this before??

No I've not heard of that. It seems to presuppose that people are choosing not to pay more quickly rather than just not having the money to do so.

davidjwest

It doesn't make sense, surely this would mean it would take longer to pay off the debt?

I can see why they may suggest increasing the minimum payments perhaps.

Do the FSA think people like being in debt? Here on Earth they don't.

DGJsaver

We have a Halifax card , and on it are only balance transfers , i think , no purchases , so they wrote to us and said our rate on balance transfers sitting on the account is increasing from 13.4 % to 19.8% , they are great arent they...i am assuming if we have only purchases on there they would then write to increase the purchases APR instead ?!

Zoology_Dragon

What a ridiculous idea, as someone else said it seems to assume that people are choosing not to pay back debts.