Raising minimums 2% to 5% per month?
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| Sat, 08-29-2009 - 12:15pm |
Guess the apple didn't fall far from the tree because my Mom also has CC debt.
She called me in a panic this morning because Chase was raising her minimum payment per month from 2% to 5%. She has a couple of cards with Chase and her payments are going to jump from 480 --> 1200 and then the other one will go from 300--> 600 per month.
I am just wondering if any of you have also experienced this? How did you handle it? Will Chase or any of the other cc companies doing this negotiate? Can the CC companies do this? OMG!
What options might she have? Given her other bills (mortgage, car, insurance, cc, etc) she can't handle these spikes in payments
Any advice would be greatly appreciated.
And here I am with knocking on wood, crossing my fingers, etc praying that this does not happen to us.
Thank you for your advice!

Found this link. Now it is just speculation and there is no prove, but it seems to make sense that the increase in minimum payment may be just a tactic to get the card holders to agree to higher interest rate in exchange for lower minimum payment. In the long run, either way you end up paying a truckload of money on interests.
http://credit101.wordpress.com/2009/06/29/chase-increases-credit-card-minimum-payment-requirement/
Thank you for sharing that link.
It's really disgusting what Chase is doing.
Has this happened to any of you out there?