WaMu trades lowering minimum payment for doubling the interest rate
Consumer’s Union has joined two other organizations in calling on Chase to stop raising minimum payment terms from 2% of the outstanding balance to 5%. Chase agrees to drop the minimum payment back down to 2% on loans with a guaranteed low interest rate only if customers agree to a doubling of their interest rate. Low minimum payments are a scheme originally cooked up by credit card companies to get customers to remain in debt and therefore pay more interest and other fees (see the Secret History of the Credit Card for more info).
Uncategorized | admin September 9, 2009
