I have a new soapbox. I made room, it wasn't hard. Didn't have to throw any of the other soapboxes out either.
When banks send out letters offering pre-approved extensions to my credit card limit, I get very cross. I find the message it sends - that credit is easy, acceptable and not in any way dangerous - morally repugnant.
So yesterday I was in our bank for something else. And I asked the lovely lady at the bank whether I could have a note put on my account barring all such offers. I also said I found them really unethical. She looked at me like I had just said 'marbles are coming out of my ears'. Then checked on the computer and advised me to ring the number on my credit card. So back at home I did just that and now we will not get sent more any pre-approved credit card limit extensions to our home. I told the telephone person that I found it highly unethical and he smoothly explained that not everyone gets the letters as if I should feel flattered by getting the letter.
hmmpff! snort!! Flattered by an assumption of financial gullibility and incompetence? Flattered by a hope that although we are generally reasonable managers of our money in this household, they would like us to start incurring interest payments of in excess of $2500 per year!?
Paying interest on our credit card is a rare phenomenon at our house. But we are at the moment, hence some very tight budgeting to clear it as soon as possible. Last month we paid $50 in interest. From 1 March the interest rate on most standard NZ credit cards will be 21.95%. No that is not a typo. No wonder so many people feel they can't afford to buy free range chooks or New Zealand made clothing.
So I would really like to encourage as many credit card owning people as possible to ring their bank and ask for a stop on pre-approved credit extension letters. Tell your friends. Tell your friends and their parents especially when they are in their late teens and about to become vulnerable to unscrupulous banking practices for the first time. They can get a stop on such letters (including an invite to own a credit card at all) from the first time they open any bank account.
I've put a poll (I've been looking for an excuse to create a poll for a while) on credit cards and bugging your bank on thed sidebar of this blog.
Where happiness is lurking
1 week ago
4 comments:
I haven't thought to phone up and ask them to stop, but I think I will next time - I agree it is very unethical. We also never pay interest - I always laugh when I get a cold call from other cc companies wanting my business by offering a lower interest rate. My reply I pay it off every month usually sends them away knowing it's a waste of time pushing their spiel onto me.
Sandra we threw our bank by stating we didn't want a credit limit at all, that it would always be *in the black* They tried to explain to us young naive newly-marrieds that credit cards don't work THAT way. We insisted ours would. And we weren't wrong. But we did have to settle for a 1 cent credit limit;-)
LOL Rach, that is so funny!
yeah boo hiss to evil credit vultures! we only use our CC for overseas internet purchases (ie amazon hee hee) and *always* put the money in first! they must hate us ;-)
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