Blog Post Date: Nov 21, 2006

Chase Credit Card - Hard-to-Believe Credit Card Rates

Universal Default Practice

I got this definition from the sites below:

• universal default practice
  WIKIPEDIA - Universal default is the term for a practice in the financial services industry for a particular lender to change the terms of a loan from the normal terms to the default terms (i.e. the terms and rates given to those who have missed payments on a loan) when that lender is informed that their customer has defaulted with another lender, even though the customer has not defaulted with the first lender.
  
  The growing use of this technique is one of the most controversial trends in the financial services industry.
  
• universal default credit cards
  You may not be aware of it, but the credit card companies are watching you. Even if you already knew this, they are probably watching more closely than you think.
  
  In addition to watching your every move on their product, they are also watching when you pay your bills, whether or not you apply for other credit cards, and whether or not your credit score has dropped. And if they don't like what they see, they can raise your interest rate without your knowledge.
  
  The practice is called Universal Default. Basically, it means that if you pay any bill late, even your phone bill, your credit card company can raise your interest rate. In fact, they can raise the interest rate up to almost 30%. They can do this even if you have a perfect payment history with them. Credit card companies do this because they now see you as a risk. Higher risks equal higher interest rates.
  
• Hard-to-Believe Credit Card Rates- universal default
  MSNBC - I've read plenty of times about how credit card companies routinely charge many borrowers as much as 30% interest or more per year. I even reported on it. In that article, I explained a practice known as "universal default," which can get you whacked with sky-high interest rates on many or most of your cards if you're late paying just one bill. And the default typically kicks in without your receiving any notification about it.
  

News Post:
Hard-to-Believe Credit Card Rates
15 Nov 2006 at 9:53am
I ve read plenty of times about how credit card companies routinely charge many borrowers as much as 30% interest or more per year. I even reported on it. In that article, I explained a practice known as "universal default," which can get you whacked with sky-high interest rates on many or most of your cards if you re late paying just one bill. And the default typically kicks in without your

Credit-card appeal: A new look, smell
15 Nov 2006 at 12:33pm
Forget about low interest rates, rewards points and free balance transfers. To attract new customers in a crowded market, the nation s credit-card issuers are pitching cards with sleek features, including a hefty one that its promoters say has plunk factor.

SeaMiles, Any Cruise Line Any Time Launches New Partnership with Chase Card
14 Nov 2006 at 9:30am
Corporate Properties Limited is pleased to announce that its wholly owned subsidiary, SeaMiles, LLC of Fort Lauderdale, Florida has signed a long-term bank card marketing agreement with Chase Bank USA N.A, the credit card division of JPMorgan Chase .

Fitch: US Credit Card ABS Issuance Trusts Updated for October (Business Wir
13 Nov 2006 at 4:18pm
NEW YORK----Fitch Ratings today updated its U.S. credit card ABS issuance trust updates for the month of October for the following issuers: American Express Issuance Trust; BA Credit Card Trust ; Capital One Multi-asset Execution Trust; Chase Issuance Trust; Citibank Credit Card Issuance Trust; Washington Mutual Master Note Trust .

Hard-to-Believe Credit Card Rates
15 Nov 2006 at 9:53am
Watch out for the "universal default" practice.

US judge OKs $336 million currency fee settlement
16 Nov 2006 at 4:49am
NEW YORK (Reuters) - Consumers will share in a $336 million settlement of a lawsuit accusing several banks and credit card groups of conspiring to charge excessive fees on foreign currency transactions, a federal judge ruled on Wednesday.

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