Question by Pablo Wilson: One little slip up on Credit Card Bill?
OK, let me start off by saying I NEVER let bills go by and make sure I set aside money so I’m prompt. Also, I’m not naive- I know CCs don’t care HOW you mess up…but I also know they want to keep their customers.
LONGER VERSION:
I’m a 22 year old college student. Last year (April 2008) I got my first credit card, mainly to establish credit, and that’s it. I signed up for CitiCard Platinum Select Visa. It had 0% APR for the first 6 months, and a surprisingly good APR after that (9%). Yes, I read the fine print- if you mess up just once, they could reserve the right to bump up the APR A LOT.
So since April 2008 I’ve avoided using it for many big things- the biggest thing came when I had to step in for a family emergency and put $ 900 bucks on there. I wasn’t happy about that, but I did get help paying that back. I started out paying a few hundred a month (the minimum was only 22 something a month) and have since paid ON TIME every month, usually at least 40 bucks more than the minimum. Currently I had about 1300 on the bill and was paying it down. They liked me, of course, and kept increasing my limit until I had 3500 on the card (of course, I wasn’t putting more stuff, but still). Everything was good.
Until this past week.
I lost my job and was running low on my usual bank account money. When I realized I wasn’t going to be able to replenish that in time, I asked a family member to spot me 30 bucks through their account because I wanted to make sure I paid this on time. I entered their bank account info online, double checked it…but stupid me, I was still one digit off somehow and the payment was returned.
Now, I did this at the end of the month, so by the time the payment processed and was returned, it was past the due date. As SOON as I was alerted, I called them and made June’s payment over the phone (that happened on July 2nd) from my newly replenished bank account.
Today, I go online, and guess what? Yup, late fee and returned check fee. I expected that. But they also bumped my APR from 9% to 28.9% and my minimum is now $ 109 instead of $ 22. I expected the APR bump, but they seem to really be going for the throat.
I need to call them tommorow, obviously. What should I say? Can I get negotiate? Can I get my APR back down to 9? This is my first error in over a year and it was a clerical one…clearly I was trying to pay them. I know I’ll have to pay some fees one way or the other, but since I have new credit I’m worried about my APR and my credit score. I’m going to cancel if they don’t revert my APR, simply because I can’t afford that. What should I be leary of when cancelling, if it comes to it?
Thanks
***************SHORT VERSION:
If you didn’t want to read all that: I’m a student with new credit, has been on time with payments for over a year, tried to pay ON TIME but because of a clerical error I entered the wrong bank account info, which caused me to get a bounced check/late fee, but worst of all, my APR went from 9 to 28 percent. Can I get them to reverse this?
Called and got it resolved today, they agreed to reverse every charge and lower my APR back to normal. I didn’t even have to argue…I got lucky this time.
Best answer:
Answer by daw999999
OK. Yes, everything is negotiable. Provided you have a position from which to negotiate. As a fairly new customer with a fairly low balance, you aren’t what they will consider a “highly valued customer”. So, when you speak with them, contrition is your best bet. You’re very sorry, but it was an honest mistake, etc., etc. Don’t be belligerent, ask for understanding, without being a sad-sap. Ask them to please reverse the late fee, and to revert the interest. If they won’t go back to 9%, ask them for 14%, or something more palatable than 28%. There’s absolutely no harm in asking, you could find someone that’s willing to be helpful. If not, you could try talking to a supervisor, they have more ability to make these decisions.
If you can’t get them to put you back on your original plan, be aware that you can not cancel the account until after you pay off the balance.
The good news is: your credit is not affected by this. Unless your payment is a full thirty days late, nothing negative goes on your credit report. If you’re unable to get your current company to fix things to your satisfaction, you can shop around for another provider. Most companies want to entice you to come to them by offering a balance transfer option at a preferable rate which you can use to pay off the higher interest card, then cancel it. If you do apply for a new card, list your previous employer, it’s very unlikely that they will call to verify your employment. If they do, nothing lost.
I recently had a similar experience where I had two bank accounts set up to make payments, and accidentally chose the wrong one, which didn’t have sufficient funds to cover the payment. The bank notified me that my payment hadn’t gone through, and after speaking with their customer service rep, they reversed the late fee, and corrected the payment. Now, I’m a more “seasoned” credit risk than you, but there’s success to be had. Good luck!
Know better? Leave your own answer in the comments!
Like this page if you enjoyed it!
OnlineDatingHeadlines.Info is your source for catchy headlines for online dating.
