- Report: #147321
Complaint Review: Chase Manhatan Bank USA - Wilmington Delaware
-
Author Confirmed
Why?
Chase Manhatan Bank USA
PO Box 15902 Wilmington, 19850 Delaware, U.S.A.
Phone:
800-334-0601
Web:
N/A
Categories:
Business Rating:
(0)
Tell us has your experience with this business or person been good?
Chase Manhatan Bank USA Ripoff interest rate doubled Wilmington Delaware
Intrest rate was raised from 12.99% to 26.99%. Have never had a late payment, always paid above the min. payment.
The reason given was due to a late payment on a different account that had nothing to do with Chase Credit Card. Chase will check your credit report and use that as an excuse to raise the intrest rate.
I asked if this was allowed by law, customer rep could not answer the question. Not regulated by any outside agency, the credit card companys can do what is most favorable to them.
Don
Fayetteville, North Carolina
U.S.A.
The reason given was due to a late payment on a different account that had nothing to do with Chase Credit Card. Chase will check your credit report and use that as an excuse to raise the intrest rate.
I asked if this was allowed by law, customer rep could not answer the question. Not regulated by any outside agency, the credit card companys can do what is most favorable to them.
Don
Fayetteville, North Carolina
U.S.A.
3 Updates & Rebuttals
Mike
Radford,Virginia,
U.S.A.
You have a couple of options (none of them good)
#2Consumer Suggestion
Fri, July 08, 2005
Actually, they don't need any reason to raise the rate. They come up with some sort of excuse to keep it from looking like the total rip-off that it is. If you have the money, of course you can pay off the balance and then it doesn't matter how high they raise the APR. Zero times anything is still zero. They get zero. You can transfer the balance to one of your other cards, but eventually that card will jack your APR too. If you notice the increase soon enough, the law requires them to allow you to close the account and pay off the balance at the old rate. No more charging will be allowed, except in some states you can also continue charging until the expiration date on the card. Closing an account, especially if you leave a balance on it, lowers your credit rating. So paying off if possible is better. Leave the account open with a zero balance but don't use the card any more.
Angelina
Green Bay,Wisconsin,
U.S.A.
It is usually referred to as a "Universal default" clause...
#3Consumer Comment
Fri, July 08, 2005
I read an article recently on bankrate.com that said approximately 50% of all credit cards have that clause built into their agreements, so you really have to look out for it when applying. It is also more important than ever to stay current on things because they can raise rates even if you are not behind with them.
David
Fallon,Nevada,
U.S.A.
Unfortunately, the terms and conditions outline this
#4Consumer Comment
Thu, July 07, 2005
As in my case, the Chase Terms and Conditions of the Cardmember Agreement (that you agreed to by default by using the card) outline this exact policy. They check your history with other creditors, and change your interest terms due to your actions on other accounts. I know at least Chase, and First National Bank of Omaha have this in their terms. There are plenty of cards that do not do this, in fact, I found one card that expressly states that they will NOT do this. Good luck
