Why Credit Card Fees Won’t Go Up

I'm ready too

Not only will I cancel to avoid a fee I will not use a debit card either, which is another source of fees.

They really have you though. You can't do anything anymore without a credit card to guarantee payment. More merchants should take up using Paypal and other forms of payment transfers.

Scooch of CA @ Jun 07, 2009 19:27:40 PM

Less money for CC Cos

I think this article is dead on! The CC & Banks in general are one of the last industries to maximize their own rev/profit by creating elaborate schemes to get their customers to fail & make huge profits off of fees. They've created the most one-sided contracts that enable them essentially to do/charge just about whatever they wanted, and now their little egregous racket is finally up. They've always hid behind the vail of personal responsibility, but then they adopt shady business processes such as shortening billing payment cycles and reverse batch processing to increase the # of bounced checks, etc... I think banks in general better brace themselves, because credit unions and new financial innovations are going to cook their goose.

AC - Atlanta GA

AC of GA @ Jun 06, 2009 12:25:49 PM

The most likely thing

the card companies will do is to try to get more fees out of the merchants who accept them.

As for card fees, I have several cards and mostly use just one, paid off monthly. The card industry thinks I'm a deadbeat--their inside term for those not paying interest. Think I'm going to pay fees on the several other cards? Nope.

Muser of NM @ May 21, 2009 11:28:51 AM

cut the plastic

Mr.Newman,

You are correct in your suggestion that those people who have credit cards, and other means of payment, will choose to cancel their creddit cards if pushed. Your article mentioned credit unions. They are easy to join. If a person is a veteran, or has or had one in the family, they can join the Pentagon FCU.

So, if citibank, bank of america, or any others send me a letter advising of fees, I will call them and give them a choice: Shut up or cancel the card. I'll use greenbacks!

Mike- Cherry Hill, N.J.

mike wood of NJ @ May 21, 2009 01:58:37 AM

Newtonian physics and banks

I'm not sure the laws of newtonian physics apply to banks and other financial institutions. Or maybe its the people who run these institutions ignore them. They certainly didn't pay any attention to the law of gravity.

Neil of SC @ May 20, 2009 15:37:57 PM

Cash

For the past 12 years I haev payed for everything with cash. I bought my house, stereo, LCD TV, car, etc All with cash. I figured I have saved 231,000 in interest payments and fees and points by doing so. That's a $19,250 a year savings in the last 12 years.

15 years ago? Buried under a mountain of debt and almost broke. Today? Living better than I ever thought possible.

Chris of OH @ May 20, 2009 12:56:02 PM