Sunday, November 30, 2008

Credit Card Fiasco!!

The RBS Credit Card Fiasco

I arrived home the other day to a letter from the RBS Credit Card company. "What could they be writing me about?", I thought. I stopped doing the dishes, dried my hands and went to the envelope that lay beckoning on the table.

I ripped the envelope open and began to read.

"Based on our review, we find it necessary to make a change to your RBS credit card account. We have increased the Annual Percentage Rate (APR) on your new and existing account purchases and balance transfers effective on the first day of your billing cycle that begins in December 2008. Your rate will now be 19.99% APR. This rate will apply to your existing balances as well as to all new purchases and balance transfers, but not to existing balances at promotional rates. All other rates, benefits and fees will remain unchanged."

The next paragraph went on to tell me that they were going to give me a free (for the next 6 months) Protected Cardholder Program.


"Based on what review??? " I pondered. And then I remembered. There was a zero balance on this credit card. It had been paid off in full several months ago, but now my curiosity was piqued.

I called the 1-800-747-8155 noted on the letter for Customer Service and spoke with a female named Chris (I.D. #3002383). I explained that I was confused and that I had received a letter dated November 14, 2008 that said it was going to increase my APR. I asked her to explain to me what this was about.

Chris then launched into the 'reading of the letter' to me. She was so into it that no matter how many times I said "Excuse Me", "HELLO!!!!", she didnt stop reading. Finally, I shouted into the phone saying her name. I told she did not need to read me the letter that I held in my hand. She needed to tell me why the APR was being increased.

She then told me that it was because of the 'economy'.!!!! At this point, I asked if this was just a general review of all RBS credit cards or was this specific to my credit history. She replied that it was a general review and had nothing to do with my credit history.

I then told her to close the account.

WITHOUT ANY HESITATION BETWEEN WORDS, Chris then told me "I can let you keep the same APR you already have, if you keep the account open." I was lucky, there was a zero balance on this account.

What the fuck is that all about???? If you did not know what to ask, or how to ask or even to question the letter, you would automatically receive the higher APR for no reason whatsoever... except of course 'because of the economy'.

HEADS UP FOLKS.... If RBS is sending out these letters, you can bet that every other credit card company is sending these letters out as well.

STOP SELLING YOUR FUTURE!!!!!!!!!!!!!!!!! Get rid of the credit cards. (More on this topic in another post).


  1. I couldn't agree more...My hubby and I have been married over 20 years and very rarely use credit cards...and if we do,we never charge more than we can pay off the following month. I have relatives that are in very deep financial distress because of them....cut them up- get rid of them, and do without!

  2. Be careful before you cancel your credit accounts. Believe it or not, it is actually better to keep the account open and simply put the card away and never use it or cut it up, but don't cancel the account.

    Canceling credit cards can actually reflect poorly on your credit report. Sure there is the right time and place but generally financial adviser's will suggest not canceling the account.