A financial manager has recently narrated specific complaints by her clients who were only notified of additional fees and interest rates after these changes took effect, and were applied to their accounts. This is in an addition to the call for public information in the face of short notices made by credit card companies regarding fee changes.
Financial manager Sheena Verling, says cardholders complained about interest rateswhich doubled only afew weeks later, from the time the changes in charges took place.
She adds that some cardholders have also expressed worries about many more consumer credit limits being reduced to half, due to amounts that needed to be paid out on their accounts.
Verling states the credit limit reductions by nearly 50 percent also cause card rejection upon making a purchase. Despite these drastic changes, which the consumers became aware of only on the day they made purchases or had their credit card transactions, the cardholders say that not even a move by their credit card issuers had been made to reach out to them to be informed of the changes beforehand.
Also, Verling said that the credits of some of her clients were subject to overcharge fees, due to the very inefficient notification by their credit card companies,also causing delayed payment.
Of course, there are concerns about interest rates also increasing rapidly at 50 percent. Worse, this happens without notice,despite a good score maintained through a generally responsible reflection in the credit history, Verling relates.
For the cardholders, Verling says that short notification by the companies about changes is particularly disincentive. She adds this as especially true to those who have built and improved good credit card scores for many years now.
Many of Verling’s clients say that instead of them being able to go through their credit spending with a responsible sense of financial management, they lose interest at such effort and may even cause them to do away with their credit cards altogether. This is significantly due to the impact short notices have on credit card account owners, Verling said.
Although the financial manager is quick to point out that generalizations cannot be made, she asserts the point that the impact of very short notice on fees and interest changes can be very harmful to cardholders, especially when the balance in their accounts seem to accumulate and carry forward for a longer period of time.