Discover Card - I'm Sick of Credit Card Interest Rates

Posted by jktshff1 on 2012-07-03:

Hard lesson learned.
Good review

Posted by trmn8r on 2012-07-03:

I'm not surprised you are sick of paying high rates. Credit card interest rates are insane, and have been my entire life (I'm an old fart). Therefore I resolved prior to obtaining my first card I would never carry a balance. I have done what I set out to do.

Using a credit card as a long term loan is not a good financial move - in fact it is very unwise unless one is desperate. 10% is too high a rate, anything higher is absurd.

You wrote this "informative" to Discover, but it just as well could be written to any credit card bank. Credit card interest = wasted money.

Posted by ok4now on 2012-07-04:

I'm surprised that D.B. has not commented on this post, it's her expertise. Anyway carrying a high C.C. balance is the path to financial ruin. You state that you make a $100 payment but only $9.00 goes towards the principle? So you're paying $91.00 a month in interest? Hello... this is insanity. Now you're considering using American General's card at 30% interest? You're just digging a deeper hole that you will never get out of. STOP now before it's too late. Obviously you're in way over your head. I would suggest a consumer debt counseling service that can negotiate these rates and put you on an affordable payment plan.

Posted by DebtorBasher on 2012-07-04:

I found myself in the same position with my Sears Credit card, my balance wasn't going down, it was going up even after my payments.

The only way I got control of it was by transfering the balance to a new credit care that offered 0% for the first year or whatever then after the first year, it was much lower than Sears ... so, it went from something like 24% to maybe 11.5%. But if you DO transfer your balance, be sure to read and understand all the fine print and know how much the rates will be after the introductory period.

Posted by ok4now on 2012-07-04:

Excellent advise D.B. The only problem is that the zero percent rates for a year are really hard to find. It's based on your credit worthiness and debt ratio. People who really need this relief will not get these offers. The C.C. companies are like sharks smelling blood, they go in for the kill. This is unfortunate. There are many good people who have fallen on hard times that are not able to pay. Then they fall victim to these predatory lending rates. This is shameful. To add insult to injury just see what happens when Obama Care kicks in. Can't afford to buy medical? It's now a TAX and the IRS will come looking for your azz. Pay up sucker or we will fine you. Want to avoid this? Vote Romney in November.

Posted by Cwazychicken on 2012-07-04:

im not the best with money on a card that allows me to take what i want and pay back later at a insane rate. I have never had a credit card, and never will. lol.

Posted by DebtorBasher on 2012-07-04:

I wasn't thinking the offers were based on credit worthiness, but you're right. Hopefully the OP will find an option that will help.

Posted by madconsumer on 2012-07-04:

sounds like there is a high balance on the card. best way to avoid credit card interest rates, is to not use them. credit cards have been the demise to many of people.

Posted by FoDaddy19 on 2012-07-04:

All credit cards work like this. I don't really think this a valid complaint as it's not Discover Card's fault that the OP apparently chose run up a sizable balance then got hit with a high interest rate that was likely fully disclosed from the beginning anyway.

To me this is like buying a Ferrari, then racking up a bunch of speeding tickets, then complaining to Ferrari about it. Ferrari didn't make you get those speeding tickets, and Discover didn't make you make all those purchases on the card. This compliant is more of a case of poor personal financial decisions rather than getting taken advantage of by a credit card company.

Posted by mamaknowsbest on 2012-10-10:

A lot of americans are nieve to the fact the credit card companies are just that. A company. They have the ability to see your credit score, other trades in collections (and amounts you owe) and keep track. You don't have a 29.99 because your the perfect customer. your just a high risk consumer. Remember this is a loan. Unsecured at that meaning they can't just repo what you owe (house or car). Credit cards were designed to temporarily borrow funds and pay right back. Not to rack up a high bill and pay down slowly. Take a look at your credit and stop taking this so personally, it's not the company it is you!

Posted by savvyconsumer on 2013-02-18:

I disagree with mamaknowsbest when she says "it's not the company it is you". At least in this case, there is some of the company that is problematic.
I've had a discover card since the early 80's. For a long time they were very good. Even giving me thousands in credit limit increases I neither asked for nor wanted but insisted I keep. Not being a credit user unless absolutely necessary, I have never used even a fraction of it. Further more, I have never gotten behind or missed a payment in anyway. That has since changed and they have gone the way of other slimey credit card companies. In 2009 they changed payment due dates on hundreds of accounts, mine included. No notification, no nothing. Just changed. I caught the change. Unfortunately, I caught it a day late. My interest rate tripled. Mad as hell, I called. Since I was such a "good customer" they could lower it a few points. Instead of 30%, they would make it 28%. Inquiring about how long the increase would be in effect or how to get it lowered. I was told it was indefinite unless I applied for a new account. Even then it would never be as low as it was. In fact, anyone that had a rate that low could expect to see a significant rate increase in the future. They have since doubled, if not tripled, card rates for anyone that had a comparable rate. All given different reasons, different justifications. Anything but the truth. Just recently I made a payment on time...on my due date...and was notified I set off a penalty rate for all future purchases. Don't know what that is since I don't use the card but, good lord, how much over 28% can it go??? In short, Discover was once a reputable company. Today they are no better than sleazy loan companies like pay-day loans, etc.

Posted by Rockstar13 on 2013-04-17:

Before you decide on any specific card, keep in mind that as long as you never keep a balance it really won't matter. However, if you do intend to keep a balance make sure you're fully aware of how much you're spending by using a credit card calculator.

I found this site that works well: http://CalculateCreditCard.com/monthly-interest-calculator-with-daily-annual-calculations/