Authorities in the credit card industry recently admitted that slow communication is the main reason why a lot of cardholders are disappointed by the service their credit card issuers provide them. More importantly, with the prevalence of fees, charges and soaring interest rates from the credit card companies across the country, the authorities believe that slow communication has hurt the consumers.
In the cases where, there was a lack of communication interest rates were increased, charges or fees were only revealed upon transaction, etc. leaving a lot of cardholders to think twice about keeping their credit card accounts. Authorities reveal that consumers ought to be protected and be informed of any increase or changes to their interest rates.
With the vulnerable economic conditions – though there is good news and positive signs of a recovering economy – the last thing the cardholders need is a credit card service that “is not going to protect their financial interest”, the authorities say.
Janine Dailly, 32, and a mother of three, significantly reduced the numbers of purchases over a period of six months since May of this year, this indicates a good sign of reasonable financial management. She claims that for the previous months, what she bought were only necessary items for her household. She further stated,by saying that she did away with her usual “wants” and stuck to her and the family’s “needs”.
According to Ms. Dailly, what happened to her successful effort of reducing unnecessary purchases to save and maximize credit on her account was to be devalued. This was due to the introduction of newly charged fees and increased interest rates that affected her savings. What made the situation even worse, she adds, there was little communication regarding changes to the fees and interest rates, which got her attention after she made some important purchases.
She said that the only time she became aware, was after the fees and additional charges were added.
She went on to say, that the communication is very slow and expects that future information will be made public instead of after the fact.
Authorities respond by saying that they will be stricter in enforcing the existing laws regarding charges and interest rates increase.