So I’m reading (while I sit up at the bar) on the Market Ticker that Karl (who has wonderful credit),
I run no balance on my plastic and have a near-perfect FICO (being “dinged” only because I don’t carry balances)
is paying 17.9% for the privilege of using the bank’s credit
Nonetheless I have seen interest rates repriced “for market reasons” up to 13, 14 and in one case to 17.9%.
and that these “sub-prime” borrowers are paying over 30% interest
his credit card went from 20% to 36% due to missing one payment
REALLY? I’m sorry, but if you’re paying more than 10%… you’re an idiot
I have WAY less than stellar credit (don’t know what my FICO score is, but I’d be surprised if it was over 500) and the highest interest rate I have on any of my loans is 12.5% on my credit cards. (yes, I am an idiot. but I realize that and pay for it monthly)
If you are writing a financial blog and you pay more than 10% for any money source, should I trust you?
Nah. Especially when you willingly give your money away to these banks. C’mon! get a credit union!
They really aren’t that restrictive. If you are breathing, you probably qualify for one in your area. Check them out and move your hard-earned money from the banks that are getting money from the government with one hand and paying out huge bonuses with the other to a local institution that has been responsibile and can therefore pay a respectible dividend on your savings.