Credit Card Rate Jacking Interest Rate Question

fuerteventuracal

I was rate jacked by my credit card company last year and thanks to the good advice I received on this website I managed to stop it from happening to me again this year. However I was told that when they put up your interest rate they are only allowed to charge you the new interest rate on any new balances and not the existing balance, is this correct? Thank you.

[Deleted User]

No, that's not corrrect. It will be on your whole balance (excluding any promo rates, which will then revert to the new rate at the end of the promo).

opinions4u

I was told that when they put up your interest rate they are only allowed to charge you the new interest rate on any new balances and not the existing balance, is this correct?

Nonsense. Slap whoever told you!

Highchair

You are allowed by law to refuse the new rate and pay off the balance at the old rate but you have to stop using the card and cut it up. The Co-op say you should cut it in half and return it, I went one better by explaining I had carfully rounded the corners of the pieces so that it would be less painfull to put it where it belonged.