Washington Mutual Complaint - Sneaky APRs & hidden fees
I just transferred a credit card balance to a brand new WaMu card a couple of weeks ago. I was persuaded to do so by the ad mailed to me offering 2.9% interest, "not an introductory APR", etc.
Imagine my surprise to find the following on my first paper bill:
Purchase Current Cycle as 11.99% APR and my Cash Current Cycle as 19.99% APR.
The latter is bad enough but then they've -added- the two percentages together for a total 38.09% APR as my "Effective Annual Percentage Rate".
(If there is a way to find APRs on the website, I've yet to figure it out.)
I know enough to know this is NOT how it works. You can't legally charge -both- interest rates simultaneously on the same balance.
I just received my card & my first payment isn't even due, yet WaMu appears to be trying to charge me an APR as if I have been defaulting for a year.
Except that this is far more than that. My "Terms Sheet" from WaMu says the default rate would be "only" 30.99% APR.
In addition, the minimum payment they suggest is approximately $35 less than the finance charge given on the paper bill.
(Remember: it's virtually impossible to find the finance charge rate at the website when signed in to my account. Well, if it's listed, it's really well hidden.)
I get the impression from this that WaMu is trying to make customers go over their max, by paying just the minimum and not paying attention to the details of their bill. A bit eager for the penalty money due if a customer maxes out, aren't they?
In my opinion, WaMy appears to be manipulating customers so they can cash in on their inattention. Is this the way they always conduct business? If so, I was better off before I transferred my balance.
Come to think of it, I was lured into transferring a balance from a previous card by a mail offer with the promise of 2.9% Variable APR. I went to the site and followed the directions. Where is my 2.9% ?
p.s. I just sent an email to the company today with a paraphrase of this comment. I'll update when and if I hear anything.
In the meantime, I will be paying a minimum of at least the "minimum due" PLUS the finance charge they are illegally inflicting on me.
I -so- regret transferring that balance!