vote up 2 vote down
star

I'm fed up. The straw that has broekn this camel's back is I just opened my statement for my smaller Bank of America credit card to find that my minimum amount due has DOUBLED and I was assessed a $39 late fee. I paid the last $2 of my minimum 2 days late last month, you see. It was $2 because the amount changed and I didn't realize it. It was 2 days late because by the time I realized the change, it was the day before the payment was due, and I guess that wasn't enough time for that invisible electronic money to make it from my credit union to B of A.

So I called, and was initially told that the service rep could only waive half the fee. Cue request for a supervisor. Would I hold? Yup. OK, she can waive it because I've been a customer since 2003. Thanks, stupervisor! What about my new and enhanced minimum payment that is double the typical amount due? Nope, no can do. You're stuck with that, "it has already gone through our system, we can't change it." That just doesn't sound right to me; I think I'm being lied to.

I'll be calling back tomorrow to see if I can get that new minimum payment lowered. It's only an extra $36, but it seems like too much to me when I paid just 2 days late and I was only missing $2. I know I signed up and these are their terms, but I'll be damned if I'll make it easy for them.

I am so irritated, actually, that I am tempted to call up and cancel each of my accounts with them. That would leave me with no open visa/mastercard credit cards, but I still have the debit cards for my two checking accounts and my CostCo Amex. I blogged about this today here. I am paying off about 9K in credit card debt; this account is just under 2K and has a shocking 15K total credit limit. I am leaning towards not using or having credit cards if I can at all avoid it when I pay off my current debts, credit score be damned. (I really doubt my score will be damned, though, because I've got 13 years of history and am current on enough student loans to pay for a lovely starter home, but that is a story for another day.)

I'm just so sick of them, and I have no power in this relationship. The only way I can express my frustration is by closing the accounts. What say you, internets?

flag
I answered below, but I just realized something that I wasn't clear on. Did BofA double your minimum payment because you were late, or is the doubling something that would have happened even if you had paid on time? – mbhunter Feb 9 at 8:00
I used to work at the company that became their credit card division. Pay it off and find someone new to love. Preferably freedom from debt. Or Chase. I liked Chase best out of all of my credit card companies. – Frugallawyer Feb 9 at 15:28

2 Answers

vote up 1 vote down

Wow thanks for sharing your story. Sounds like you got totally screwed over by the bait and switch of the credit card companies. Putting up with that kind of service would really tick me off as well. I would definitely cancel the card tomorrow if I were you. Think of it this way, if your favorite restaurant or grocery store had that kind of service would you keep going there? Of course not! So canceling the card is the only way to go. After canceling the card pay off the remainder of the 2K balance ASAP and be done with BOA for the rest of your life! Keep us posted on what you decide and I am curious to hear what they might say to try to keep your business after you tell them to take a hike.

link|flag
This is totally what I'm planning on doing. I figured I'd throw it out there and see if someone else had a good reason not to do it, though, since I was FURIOUS when I made the decision and sometimes (just sometimes!) I don't make the best decisions when I'm livid. And I really, really, really hate being told "our system can't do it." You mean the same system that just credited me a late fee? Shut the front door. I don't buy it. – Dogfood Provider Feb 9 at 2:15
vote up 1 vote down

EDIT: I wrote this on the assumption that the increase in the minimum payment was not triggered by the late fee. I may need to change my answer if this isn't the case. ;)

Well, if your interest rate stayed the same, BofA doubling your minimum payment actually helps you financially. You'll pay off your debt faster than you would have otherwise. Sure, it's more money out of your pocket each month, but it's actually less evil than it was before, because you'll pay far less interest to them in the long run.

You can cancel your BofA cards but I'm not sure you're going to fare much better elsewhere. The rules imposed by the CARD Act in late February, 2010 will make credit more expensive for all providers, not just BofA. Once-profitable practices (for the issuing banks) will be limited, and hence they'll be making up costs elsewhere. It will be the same dog with different fleas at another issuer.

It sounded like they waived the fee, which is something they didn't have to do. You may be able to get somewhere getting the minimum payment lowered again because you are a good customer for them (you pay them interest). If you succeed, though, I'd still recommend paying your debt down faster than the minimum (maybe at the level that they have you at now) because it will save you money in the long run.

link|flag
You are 100% right that they didn't have to wave the late fee. You're also right that I should pay the debt down faster than the minimum. I should have mentioned that I am working on paying off all of my debts, but this one is only getting the minimums because I am working at "snowballing" a different account right now. – Dogfood Provider Feb 11 at 20:08

Your Answer

Not the answer you're looking for? Browse other questions tagged or ask your own question.