Credit Card Corporations-Thieves of Reform

It was a minor victory yesterday for all who are vying for credit card reform as yesterday a bill was passed to stop random rate increases, double billing cycles and basically unfair creditor tactics. I say minor, because this bill does not take affect till July 2010. So, folks we have another year and a half to be taken advantage of by the creditors. How much damage can they do in a year and a half? But today, the article that caught my attention is Discover and Capital One are taking it upon them to close inactive accounts, which brings me to a personal story with Capital One.

About six months ago, when I called to close my credit card account which I paid in full. At that time, I was passed to sales rep that was there to talk me into keeping my account open by offering me a sweet deal of lowered interest rates, etcetera. When I declined, he hung up on me and did not close my account.

To my surprise, believing my account closed, I received a bill for Capital One’s monthly fee and a late penalty for a charge that appeared on my card AFTER I asked for it to be closed. When I called, highly irate, I might add, they said, “First my account was never closed, even though I called to do so and I had to hold a balance of zero for a billing cycle for a month in order to officially close my account.” My response was, “How convenient for Capital One.” The point here is if I call to close the account, it should be closed. There should be no monthly waiting period for Capital One.

I made sure no charges would appear so I can close my account. Then Capital One changed my billing cycle and charges of the past month appeared on my next bill, so this time when I called they told me my account had to have a zero balance for two billing cycles. Bottom line, believe it or not, they were changing the rules for closing accounts to keep my account open.

Today, my account is most likely listed as “inactive.” So I ask, now will Capital One wish to close my account. As per Bloomsburg article, Capital one has been “very aggressively” closing inactive accounts. I must say, they were very aggressively trying to keep my account open. Now that times are tough for credits in this credit crunch, Capital One is closing them.

These rounds back to yesterday’s credit card reform. Yes, relief is on the way for consumers-in 2010. I am not convinced, as you can see still credit card corporations are twisting the rules and regulations on consumers. To me, this is like house burglars, you may spend a lot of time and money keeping predators out of your house, but if thieves want in, they will find a way to get inside. Credit Card Corporations will always find ways to make money of consumers.