SIOUX FALLS, SOUTH DAKOTA -- I opened my credit card statement today from Sears Credit Cards. I've been a great customer, paying on time, never paying only the minimum, never buying over the limit, etc... However, today my interest rate jumped from 10.24% to 25.24%. My previous interest rate was not an introductory or special rate so this was not expected in the least.
When I called to inquire, there was no one who would return the rate or even lower it. I understand that this is the new business as usual for credit cards but there are some lenders out there who are not doing this. For me, I plan to play this card off and then cancel it. I have other cards. Thankfully now, there are other options.
CALIFORNIA -- I have been a Sears customer for over 40 years and just yesterday received a statement as well as a notice that my interest rate will go up! This company is jumping in to raise their rates before the new credit card law goes into effect the first of next year! I have always paid on time, usually over the minimum amount due and still they are going to raise my rate. If I choose to not accept the rate hike and keep my present interest rate, they will close the card - thus affecting my credit while I still have to pay off the bill (which I understand fully - but ruin my credit!)
I understand everyone is hurting in our present economy - but to take this type of step with a previously stated valued customer - is awful! I personally, as I am sure millions of others receiving the same information this month - will no longer shop at Sears - and with the Xmas season soon upon us - they will realize they made a decision that will crush their expected holiday profits...... and have lost the customers that had shopped in their store for years.
Sears Credit Card Rate Increase: I just received my bill and called to find out exactly what this meant to my bill. I was told the rate was jumping by nearly ten percent and going to a variable rate. The executives who work there have absolutely lost touch with reality. I have bought appliances and other items over the years and as of today will no longer shop at this store.
I will be writing an executive complaint for what it is worth but would love for someone at Sears to explain this rationale. The general public is already hurting and if you can't make it with the rates you previously had start asking why??? Now you are going to really hurt those who have little or nothing left in their budget.... No wonder Sears has lost it's strong appeal with the general public that it enjoyed for such a long period of time. Let's watch their quarterly results over the next few quarters!
MICHIGAN -- As I sit here waiting for the Sears Repair folks I have had a chance to read all of the many complaints about Sears. Looks like there are lots of you in line ahead of me. Their ice maker flooded my kitchen. The one on my new Sears Kenmore Elite that was over $2000.00. I see I am in for quite a ride according to the rest of you. I would encourage all of you to go to your state attorney general's websites and file complaints. Even Sears does not want to deal with them. Then e-mail everyone you know a link to all the complaints you can find about Sears.
Say, to my friends, FYI, save yourself the trip, I already have the shirt. Love .... And they did send me a notice telling me they were increasing my rate on my Sears card to a ridiculous amount for no reason at all. I had a zero balance so I just cancelled it. They are a nasty bunch of thugs.
5/10/09: When Sears Credit mistakenly thought I missed a single payment; they not only slapped a 39.00 late charge to my account; my interest rate jumped to 29.99%. WTF, are you kidding me. No way Jose; not this cookie. Make a statement to these companies, DO NOT DO BUSINESS WITH SEARS, KMART or Citibank. I know I will not anymore.
Keep in mind I have never been late with any payment in 15 years of Sears credit history. I always pay way over the minimum due & I have an excellent credit rating 800+, nothing has changed. Imagine what they do to people who are really struggling to pay the extra fees and penalties from interest. I can see how people can become indefinitely indebted. Won't be me, paying them off; closing my account and any other account I find with Citibank and mark my words I will never shop there again. EVER.
I have been a Sears customer for 50 years. I paid my bill before the due date, they received it on the 15th instead of the 9th, and charged a late fee and a service charge. Now this month and last month the due dates are on later days of the month, there seems to be no set time to pay except at their whim. You can guess what their little game did to the interest rate. No problem. It is now paid off with the card cut up in little pieces with the bill. I will never set foot in a Sears store again. They can put the pieces where the sun don't shine.
FORT WALTON BEACH, FLORIDA -- Sears closed my credit card account in 2003 because of an error on my credit report made by my mortgage company. Nonetheless, after taking 8 months to clear the error, I kept the account closed and have been paying it off. For the first time, my interest rate on my Sears account doubled this month. A Sears representative said there was a change in terms across the board that affected all accounts, closed accounts as well - which he said they found confusing too. I had to opt out over the phone to reverse this.
Once an account has been closed and your payments are always on time, how can they raise your interest rate?? Is this legal? Also, is it legal for a credit card company to close your account because of a report from another credit entity? I quit shopping Sears since they closed my account in 2003 over a mistaken report made by my mortgage company. I still won't shop there, and once this damn card is paid off, I'm done with them completely!
SHEBOYGAN, WISCONSIN -- I have had a credit card with Sears for Over 30 years. My wife and I have spent thousands of dollars on appliances, clothing, and other things. We have never been late on a payment, always paid more than the standard payment and have a credit score of over 800. Our interest rate was 28%. We called a supervisor and asked if they would lower it. To our surprise, the answer was NO. They told us that Sears gave great deals so therefore they would not lower the rate. I told them we would pay them off in full immediately and cancel the card. They said fine. We did just that and have taken our business elsewhere.
MUNCY, PENNSYLVANIA -- I live in Williston, FL. My son lives in Watsontown, PA. On June 24 he called asking if I could order a hot water heater for him on my credit card and he would pay me back. His went poof a few days earlier. You know how it is when they are just starting out. He had researched and found one at his local Sears. Not a problem since we had called the same store on May 17 and purchased him a garage door opener for his birthday.
When it came down to putting it on my credit card I was told that they will only take Sears card over the phone. I explained that I had just made a purchase a month ago with no problem and that I do not have a Sears card. The salesman said “I have another customer.” and hung up. I called back and talked to a manager who told me the same thing. Neither person offered me a Sears card either.
I ended up purchasing the hot water heater from Lowe's. They had no problem taking my other credit card even though I do have a Lowe's card. Many years ago I did have a Sears card but in the early 90's I had a very bad experience with their service department and appliance manager and swore never to purchase from Sears again. The garage door opener was from my husband. But this experience just reminded me of why I stopped dealing with Sears. Sad, because I furnished 6 homes with Sears appliances and purchased my son's clothes there and usually birthday, anniversary, wedding, etc., etc. gifts there.
DAYTON, OHIO -- I noticed a charge of $25 for a Reward on my June 2007 statement. I called Sears/Citibank and told them I didn't order or want any type of reward so please remove this charge from my account. On the next statement the $25 was credited but I incurred finance charges and a $39 late fee for non-payment. I refused to pay this and wrote the company. The next month another $39. They have taken to harassing me by telephone and the balance of this card is now over $100 for finance and late fees on a charge I did not authorize.
When they call they tell me I have to call someone else to discuss my problem but they will take my payment. No way! I have cut the card up and returned it to them after being a Sears customer for over 50 years. Sears good name is being ruined by shotty customer service and poor practices. I will never shop there again.