December 23, 2009
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News: Surviving the 2010 CC Crunch
As if it's not already bad enough being slammed with the outrageous credit card finance charges, many among us may find themselves high-and-dry with little or no credit at all. As we enter the verge of new consumer credit card protections afforded by the CCARDA act which go into effect on February 13, the actual relief we realize may be meager indeed. The damage has, largely, already been done. If our APRs haven't already reached the hilt, any remaining credit card accounts have already been switched over to the ‘variable' type. This convenient little nuance by the banks, pretty-much, neutralizes most of the relief the bill was designed to deliver the consumer. If you're reading this, then you probably already know from the many notices arriving in your mailbox on a daily basis now.
Even as this is written, Mr. O is busily defending us by demanding that the large lending banks ease up on their stingy credit card offers. Some of the larger credit card lenders like BofA and JPMorgan have agreed to comply. With maxed out APRs and the need to set up new accounts to replace those either closed or reduced to minimal limits, these banks should do alright now. They've had time to “adjust” to the brave new world of credit. What many consumers will soon come to realize is that the days of friendly and easy terms won't be restored for quite some time.
For those of us who may be vulnerable to the onslaught, here are some tried and proven suggestions that might serve to get us through the coming year. The four-part series found, starting at Surviving the 2010 CC Crunch, will cover the most basic and common credit card hurdles that many of us will face. Tho, most will seem like just common sense, the emphasis and effectiveness of these rules have changed over the last few months.