Friday, April 15, 2005

Mr Bendover.... Credit Card Bank Here.... Drop'em!

Thanks again to the Credit Card industry for sticking it to the public by finally getting the Bankruptcy Reform bill passed. Just bend over everyone and let them shove it in hard and dry. This legislation now curtails the rights of the individual in that they now have a severely restricted ability to file for bankruptcy. More thanks to our a-hole Liberal senators, and all around back stabbers Joe Biden and Tom Carper. Thanks guys for selling us out to your special interests. Not that I've ever voted for Liberal laughing stock Joe Biden anway, but remind me not to ever vote for you again either way. Jerks. Now, people who are trapped in a no way out situation are going to be required to continue to pay on their debts, instead of having the slate wiped clean. OK, so let me try real hard to figure to common sense out of this statement. You have a person, who is decimated financially, has no means to pay, be it due to Divorce, Illness, Job Loss or what ever, and theses idiots are going to still require you to pay back part of the debt? One question.... with what?? Frigging sand?? Whats wrong with this picture???? I'll tell you whats wrong. You have credit card companies playing games with peoples finances, getting them into trouble, and then taking away their only means of relief because of their own actions. Credit card companies are not held accountable at all for a problem they cause and prepetuate.

How, lets count the ways. They agressively market to everyone, particularly to younger irresponsible clients, the gullable and the poor. They are the only business in the world allowed to do business with an open ended contract thats open on their end only. By this I mean they can change the rates and terms of the contract "At Will" and at their descretion without the other partys permission. Its you either accept the changes or we'll close your frigging account, but by the way, you still must pay at the assnine rate we've set for you. Sorry, when I learned business law in college a contract was a contract. 4 Corners rule, if its not within the 4 corners of the original document it cannot be changed on a whim at a later date without nullifying the original contract in its entirety, at the agreement of both parties to the contract. What this does is enables these companies to abuse their customers as they see fit.

If we wrote to our bank and told them as of the 30th of this month the rate on our car loan will be adjusted to 1% they'd not only rupture a disc laughing, but probably sue us blind. But this is the same difference! So what happens in the real world is a client signs up for an account, promisses to pay each month and the rate is 6.9%. Not bad, they have this calculated out and can afford the payments, even if they max the card out at the current stated rates. This is good for say 3 months where for some unknown reason some blockhead at the bank decides to snoop into your business and sees a 6 year old 30 day late payment back when you had a car accident. He promptly bumps your rate up to 26.9% as you are now considered a high risk. The same thing happens if you approach your credit limit. They give you a damn credit limit of say $2000 but if you attempt to use it, and your balance due approaches that limit, they somehow surmise this to be a "risk", and your rate pops up to double digits. What the hell is the sense in that??

What this does is make the repayment of the debt harder for the client and increases the likelyhood that the bank will NOT get paid. This happens all the time. Make one late payment, legitimate mistake or not, and up goes the rate. Have one financial crisis, up goes the rate to userous amounts. Then when you fail financially, they start pissing and moaning about the rising number of bankruptcies, and want their brown nosing butt licking cronies (you know who you are Joe Biden & co.) in Washington to fix the problem by legislating the clients rights out of existance. They brought this crisis onto themselves, they are the ones who need to be reeled in and hard. Their contract needs to be a fixed closed end contract. If a client signs up for 9% thats what they get for life unless the CLIENT closes the account and applies for and opens another at a different rate. This open ended contract crap is just that, a bunch of crap. If a client wants a credit card, they should be required to go to a lending institution, bank or what ever of their own accord, apply, and be processed as if they were applying for a $25,000 car loan. They should be strictly scruitinized, an appropriate rate offered, and the client given an opportunity to reject the deal up front, not after they run up a few thousand in debt, and the rate is slammed up to the ceiling. Marketing in colleges and libraries etc should be banned.

My recomendation to the general public is lets stick it up their asses. Pay off your existing cards and then lock them in a safe. Apply for no more credit cards until they change the rules or they are also reeled in by laws and made to play fair. A nice little game I like to play is to fill out those annoying solicitaions I get in the mail with bogus info, and write across the form. I'll take the card if the rate is permanently fixed at 5% and can never ever be changed. So far none have take me up on my offer, or advertised that they are changing their contract structures, but it is fun trying. At least it wastes their postage and time.