Capital One Credit Cards - RAISING RATES

Capital One Credit Cards - RAISING RATES

Posted in the Credit Card Debt Forum

First Prev
of 10
Next Last
Dean Hansen

Ypsilanti, MI

#1 Mar 13, 2007
I am an eight year Visa credit card customer of Capital One, and had a fixed interest rate of 7.9% during that time. I just received a letter that Capital One is raising my rate to 12.9%. My account has been in good standing, never a late payment, almost always paid in full. I have charged over $100,000 over the past eight years. The only reason I was given for the change is that it was a "corporate decision."
Capital One does offer cards with a fixed rate of 9.9% for new customers only. They are not willing to help existing customers with maintaining their existing rates. They would rather lose a long-standing excellent customer rather than work with them to maintain their business. Im my opinion, this is a very bad business practice, and will drive existing customers away.
Interest rates are not on the rise, so why the rush to squeeze customers with a much higher rate? I have never dealt with a credit company that was so cold and callus to their good customers. I was told that if I did not like the rate, I could opt out and close my account. What a way to treat excellent, no risk, customers!
If you are a Capital One customer, check your next statement for this important change. Pass the word along to as many people as possible, and advise that they keep an eye on their rate, and switch cards if the rate does increase.
Dean
Joe Bianco

San Antonio, TX

#2 Mar 27, 2007
I had the exact thing happen to me. I had my card for over 10 years with an fixed 5.9%. I had the same reaction from Capital One. I found it hard to believe that they are doing this to all their customers. I chose to close my account. They also had the gall to tell me (after I chose to close the account) that I still owed the $18.00 yearly fee! They eventually waived the fee after wasting 20 minutes of my time.

Joe
JimBob

Petrolia, Canada

#3 Mar 28, 2007
No risk customer? Excellent?
My friend, you are not a "Preferred client"
aka carries a balance. CC companies don't like people who a good.
Brian

Lake Hopatcong, NJ

#4 Apr 15, 2007
Same thing happened to me. The same BS explanation. the fact is they will screw over current customers but facor new customers. I has 8.99 rate and it went to 13.99 then via phone call got it to 12.99. no big deal as i have no balance and other chase cards with 7.99 and 8.99 rates. The biggest joke is you could go to capital one site rightnow and get a variable 7.88 or 9.99 rate.... if i wasnt looking for a house and didnt want to tinker with my fico score by opening a new account i would do it for spite...
Brian

United States

#5 Apr 16, 2007
Had the same problem w/CapOne. Recently my 4.99% fixed rate got changed to 9.9%. Have had the card for years and do carry a balance, but have never missed a payment. Called customer no support. Was actually told "too bad". Looking for another company now. I also have a money market account w/CapOne. I'm going to cancel that account too. Bye Bye CapOne All Hassle
Lenny

Dover, FL

#6 Apr 17, 2007
Dean Hansen wrote:
I am an eight year Visa credit card customer of Capital One, and had a fixed interest rate of 7.9% during that time. I just received a letter that Capital One is raising my rate to 12.9%. My account has been in good standing, never a late payment, almost always paid in full. I have charged over $100,000 over the past eight years. The only reason I was given for the change is that it was a "corporate decision."
Capital One does offer cards with a fixed rate of 9.9% for new customers only. They are not willing to help existing customers with maintaining their existing rates. They would rather lose a long-standing excellent customer rather than work with them to maintain their business. Im my opinion, this is a very bad business practice, and will drive existing customers away.
Interest rates are not on the rise, so why the rush to squeeze customers with a much higher rate? I have never dealt with a credit company that was so cold and callus to their good customers. I was told that if I did not like the rate, I could opt out and close my account. What a way to treat excellent, no risk, customers!
If you are a Capital One customer, check your next statement for this important change. Pass the word along to as many people as possible, and advise that they keep an eye on their rate, and switch cards if the rate does increase.
Dean
Boy! I thought you copied my letter.
I am in the same boat, but Cap one will get it in the rear.
As soon as I get my $100 cash rewards , I will cancel.
David Ferwerda

Gainesville, FL

#7 Apr 18, 2007
Dean Hansen wrote:
I am an eight year Visa credit card customer of Capital One, and had a fixed interest rate of 7.9% during that time. I just received a letter that Capital One is raising my rate to 12.9%. My account has been in good standing, never a late payment, almost always paid in full. I have charged over $100,000 over the past eight years. The only reason I was given for the change is that it was a "corporate decision."
Capital One does offer cards with a fixed rate of 9.9% for new customers only. They are not willing to help existing customers with maintaining their existing rates. They would rather lose a long-standing excellent customer rather than work with them to maintain their business. Im my opinion, this is a very bad business practice, and will drive existing customers away.
Interest rates are not on the rise, so why the rush to squeeze customers with a much higher rate? I have never dealt with a credit company that was so cold and callus to their good customers. I was told that if I did not like the rate, I could opt out and close my account. What a way to treat excellent, no risk, customers!
If you are a Capital One customer, check your next statement for this important change. Pass the word along to as many people as possible, and advise that they keep an eye on their rate, and switch cards if the rate does increase.
Dean
You are not alone, same thing happened to me 7.9% to 12.9% after many years of paying on time. I did carry a balance so they were making money from me. When I asked about the increase they said didn't I receive the letter. I said if I did it was probably ignored since the 7.9% was supposed to be a fixed rate like in "fixed rate mortgage" I was told that their definition of "fixed" was different---what a joke!!!! Is there something that we can do about this as they failed to live up to the agreement?
JF Bergenfiled NJ

East Quogue, NY

#8 Apr 18, 2007
I have a great credit rating but the same thing happened to me. My "fixed" 7.9% jumped to 12.9% even though Preferred new customers still can still get 7.9%. I could understand a point, or two, based on the Prime Rate increase but not 5 percent !
And then they suggest, in a another mailing, that I apply for a "bater and switch" Home Equity Loan to cover the outstanding credit card balance at 7.9%.
Customer Support said that this increase was a "Management" decision and that I had no option but accept the 12.9% rate or close the account. I plan to close it ASAP. I hope that more state officials look into this new "fixed rate" scam and bring Capital One to court.
Bonnie Knoxville TN

Oak Ridge, TN

#9 Apr 19, 2007
Same story... fixed 6.9% jumped to 12.9%. When I called customer service, I got a youngster that hardly knew what I was talking about when I compared the CapOne fixed rate to a fixed rate mortgage. I then explained that when I spend the money that I now carry as a balance, that I did it under the contracted fixed rate of 6.9%. I think it has got to be illegal to re-write our "contract" with them to increase our rates and not Grandfather the previously spend money under the rate that was in effect at that time. My daughter and son-in-law are both attorneys and I will be questioning them about this on Saturday.
Tom Chicago

Arlington, VA

#10 Apr 19, 2007
The same here. I have a balance of around $10,000, and never a late payment. Half was at 7.9%, half at 4.9%. In March, they raised the 7.9% portion to 12.9%. When I called and asked why this would happen, they said they had the right to change the terms of the account. They said I could opt out, but I told them I would wait. When they go to raise the 4.9%, I am out of there.
Rob Maryland

Utica, MI

#12 Apr 22, 2007
Same here. I had a 10k balance. Yet I get DAILY offers for 6.99% personal loans from CO. I promptly paid it off and closed my account.
James Wainright

Virginia Beach, VA

#13 Apr 22, 2007
Same thing happen to me too, It jumped from 7.9% to 12.9% and was told the exact same thing, it was a management decision. That is their typical response and I am sure they told their customer service employees to say this. Plus, don't try calling after hours due to they are outsourced and you will speak to a 3rd world country employee who can barely speak our language. Yea, this was supposed to bring prices down. LOL They even place you on hold like they are doing you a favor and then they state what they were told to say. I told them I will get rid of them just like I have many credit cards! There are more companies that would gladly take my business. A FIXED RATE is a FIXED RATE! What do they not understand? No HASSLE? Yea, Right!
Matt-Columbus

Columbus, OH

#14 Apr 22, 2007
I had the same thing happen to me and I was shocked at the apathetic attitude that the service rep and the the TWO MANAGERS/SUPERVISORS that I talked to had. They did not care to work with me at all. i have carried a balance as well and my 7.9% "Fixed" rate went up to 12.9%, and they "generously" offered to lower it to 11.9%. I was given the same "BS" response that it was a business decision and that they had not raised their rates for quite a while. I will never recommend Capital One again...EVER. This seems to be a very shady, even illegal "business deceision" by this company. I agree that they don't seem to care at all about their current customers. Does anyone know where we can complain to or file a class action suit against them?
Dawn Kearl

Salt Lake City, UT

#15 Apr 22, 2007
Man... just found out that Capital One has upped my 4.99% rate that I've had for many years with them to 9.99%! CAN YOU SAY DOUBLE! I am sooooo upset at them. Same treatment as the rest of you. They just asked if I read my statement in March and that it was a business decision. How can a company advertise and loan at a fixed rate and then just decide to double the loan "fixed rate" overnight? How can they apply the new 9.99% to my existing balance legally? I have never been late, never late on any bill for any lender, utility or the like either. So why would they do this to great customers like me???? This is criminal. They should be forced into a class action and pay back every red cent they are ripping us off for since that balance (which I'll be done with ASAP) was loaned at a fixed rate of 4.99%. What can we do?
Teresa Kalis

Southgate, MI

#16 Apr 23, 2007
I just looked at my online account and see that my 4.99 for a balance transfer also went to 9.99. Almost double. I've had this account for many years and I got the anwser from Capital One that you all got. They claim that this was not a balance transfer but a purchase check to too freaking bad. We could give you a 8.99. I have a high yeild savings that pays over 5.00% so there was no reason to pay this off. Now there is. I'll be closing all three accounts that me, my daughter and my husband have with capital on. I just got a 1.99% transfer request for the life of the transfer that I didn't consder because of the transfer fee. It looks like this could be a good deal not. So much for NO HASSLE!! Bye Capital One.
Edward Luttenberger

Whitesboro, TX

#17 Apr 24, 2007
I have experienced the same "customer service" advantage from Capital One and will be closing my account. However, I would suggest that in addition to discontinuing doing business with Capital One that all other disgruntled customers send a letter of complaint to the Chairman and CEO
Richard D. Fairbank
Capital One Financial Corporation
1680 Capital One Drive
McLean, VA 22102
In addition to that letter, I will also be addressing my complaints to the U.S. Senate Committee on Banking, Housing, and Urban Affairs. Since our senators are so enthralled with holding hearings, perhaps they would like to look into this example of corporate greed and actually earn some of the money we taxpayers are paying them.
Kim Smith

Boise, ID

#18 Apr 24, 2007
I've just received my statement and find they've doubled my interest rate. But I can't find a way to a live operator to start the complaint process. Can anyone give me a number that will connect to a live person?? Kim
Edward Luttenberger wrote:
I have experienced the same "customer service" advantage from Capital One and will be closing my account. However, I would suggest that in addition to discontinuing doing business with Capital One that all other disgruntled customers send a letter of complaint to the Chairman and CEO
Richard D. Fairbank
Capital One Financial Corporation
1680 Capital One Drive
McLean, VA 22102
In addition to that letter, I will also be addressing my complaints to the U.S. Senate Committee on Banking, Housing, and Urban Affairs. Since our senators are so enthralled with holding hearings, perhaps they would like to look into this example of corporate greed and actually earn some of the money we taxpayers are paying them.
Dawn Kearl

Salt Lake City, UT

#19 Apr 25, 2007
Kim... call the 800 # on the back of the card and keep pressing 0 (ignore the errors) until they transfer you.
Ed... great idea. This is an unbelievable abuse of the tax paying consumer! Seems nobody has yet noticed that while housing has doubled, consumer credit costs are doubling, health insurance... well, the list goes on an on, my wages haven't budged. HUM? Good economy for who? I'll tell you... the companies are loving this economy.
Gerry Sagamore Hills OH

Aurora, OH

#20 Apr 26, 2007
Our interest rate also increased from a fixed 4.99 to 9.9%. We were able to speak to a senior account representative. She stated in was in writing that economic changes could change a fixed rate. I don't remember seeing this in writing nor can I find the original paperwork on the 4.99% We had called Capital One questioning the 4.99% before taking out the Credit Card and we were informed the 4.99% fixed rate would never change. Capital One did reduce the 9.9% to 8.9% after our call.
Charles Gray

San Francisco, CA

#21 May 1, 2007
David Ferwerda wrote:
<quoted text>You are not alone, same thing happened to me 7.9% to 12.9% after many years of paying on time. I did carry a balance so they were making money from me. When I asked about the increase they said didn't I receive the letter. I said if I did it was probably ignored since the 7.9% was supposed to be a fixed rate like in "fixed rate mortgage" I was told that their definition of "fixed" was different---what a joke!!!! Is there something that we can do about this as they failed to live up to the agreement?
This is exactly what happened to me, but I wasn't fortunate enough to even notice the increase until I got my statement and it was after the date I would have had to call in to ask them not to nearly double my rate. I called them as soon as I noticed, and their representative Anthony (HQG520) repeatedly assured me that they would return my rate to 7.9 (I, too, had a balance, so they were earning from me) but that he couldn't transfer me at that time because it was after 11 PM Eastern. When I pressed him for assurance, he gave me his word and told me that the phone call was recorded so they could go to the recording if they disbelieved me in any way. I have a long history with the company, and they had always been honorable in the past, so combined with the other safeguards I though I was probably okay. Nope. I called back the next day and was offered 11.9. Escalated the call to the highest level I could reach, but they refused to honor what Anthony repeatedly gave me his word they would do, citing that it was "unreasonable" and "impossible."

What to do? I'm writing to the CEO and Ccing others. I'm also going to post on forums like this one and reference the URLs in my letter. If they do not honor their word, I will keep spreading mine. I encourage everyone else to do the same. They are a business, and if they understand that this is a BAD business decision and that they will lose money, they will concede. Please keep spreading the word to anyone, anyone, anyone who will listen!

Here's where the first of my letters will go. If they honor their word, I will give credit where credit is due:

Capital One General Correspondence
P.O. Box 30285
Salt Lake City, UT 84130

Mr. Richard D. Fairbank
President & CEO
Capital One Financial Corp
1680 Capital One Drive
McLean, VA 22102

The Honorable Bob McDonnell
Attorney General
State of Virginia
Office of the Attorney General
900 E. Main Street
Richmond, VA 23219

Commissioner of Financial Institutions
State Corporation Commission
1300 East Main Street
Suite 800
P.O. Box 640
Richmond, Virginia 23219

Tell me when this thread is updated:

Subscribe Now Add to my Tracker
First Prev
of 10
Next Last

Add your comments below

Characters left: 4000

Please note by submitting this form you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.

Credit Card Debt Discussions

Title Updated Last By Comments
URGENT LOAN OFFER FOR THOSE that are in need o... (Jul '13) Jan 11 Paul Glover 30
http://greatdumps.pw Best Dumps Shop 2016 - Dum... Dec 26 mike836 6
Free CC , Bank Logs, Carding Help , Dumps, acco... (Dec '11) Dec '16 Mannyfresh 175
LeoDevices Why should i buy Oct '16 Jenson 8
Help me get out of debt. Donate bitcoin here: 1... Oct '16 UsedUsername 1
repair bad credit | get a new identity | create... (May '12) Oct '16 bill 45
100% new identity | buy new identity | create n... Oct '16 Chaplin 1
More from around the web