I recently purchased a projector at circuit city using my circuit city credit card in order to get the 24 months no interest financing. The total purchase was almost 1300.00 dollars. I just got my bill and its saying my minimum payment is like 350.00 bucks. I'm like, that can't be right. So I keep reading and see I got charged a 35.00 dollar over the limit fee. I thought my limit was 1500.00 it apparently was only 1000.00, so not only do I get the stupif fee, I lose out on my zero percent interest. My fault I guess. I will call them and see if they will be kind enough to fix it. If not I just got a new citi car in the mail with 18 months 0% interest on balance transfers, guess I can transfer it to that.
Stupid credit cards
- Thread starter coolred
- Start date
This is why I don't bother with store credit cards... if there's no catch, I wasted enough time finding out there was no catch for it to not be worth it
Theres no catch as long as you follow the rules, I just messed up and went over my limit, I thought I had checked it and it was 1500.00, maybe that was my best buy card. Whats so wrong with using them as a 0% loan. Works for me, assuming I don't mess up like I did this time. Guess if they don't fix it I will just transfer it, no big deal. I would have had it paid off before the 2 years anyway.
dullard
Elite Member
- May 21, 2001
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Eventually, nearly everyone messes up like that one, you are already out $35 + interest on that $1300. Check all of your other CCs. The fine print states that if you mess up on your Circuit City card, than ALL other cards you own have the right to instantly raise the 0% up to an ungodly number (that means you'll likely have nothing to transfer to). Do you have the funds to pay it all today if they choose to do that?
Just called them and they removed the over limit fee and once i make my first payment of 349.21 to get it back under the limit they said they will reinstate the 24 months no interest financing. They kinda said it was thier fault anyway, since it should not have allowed me to make a purchase for more then my limit. So all is well again. Thank you.
Problem solved already guys, everything is fixed. I do have to make my first payment of almost 350.00 bucks to get it back under the limit, but they are refunding the fee and I will still get my 24 months no interest.
What the heck are you talking about, my circuit city card has nothing to do with my citi car, they are two totally differant companies. Messing up on the circuit city card has no effect on any of my other credit cards.
dullard
Elite Member
- May 21, 2001
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I don't know exactly what Citi card you have or what the current terms are. But here is a typical Citi card terms and conditions:
"Introductory rate of 0.0% for 12 months from date of cardmembership on balance transfers and purchases...However, all your APRs may automatically increase up to the 30.24% variable default rate if you default under any Card Agreement that you have with us. We may also increase the promotional rate if you fail to make payments to another creditor when due."
Suppose Circuit City was mean and made that whole payment due now. Could you pay it? If not, then you'd also risk a 30.24% interest rate on your CitiBank card. Yes, you probably avoided the problem this time since Circuit City was kind. But next time can you guarantee it?
Most other 0% interest cards have similar fine print. It might even trigger for simply going over the limit like you did on some cards.
Thats if I fail to make payments, not just for going over my limit. They are making the whole payment due now, I still ahve to pay what I had to apy to get back under my limit, they didn't do anything about that, and I didn't expect them to. Either way, all is fixed and I will be okay making this payment.
How the heck does the other credit card companies, liek citit for example keep track of all mine and everybody elses credit like that? I mean that seems like it would require a lot of manpower to do. Unless maybe they just have a deal with the credit reporting agencies to send them a notice if one of thier cardholders misses a payment on one of the other cards. That still seems like it would be a lot of work. Oh well.
How the heck does the other credit card companies, liek citit for example keep track of all mine and everybody elses credit like that? I mean that seems like it would require a lot of manpower to do. Unless maybe they just have a deal with the credit reporting agencies to send them a notice if one of thier cardholders misses a payment on one of the other cards. That still seems like it would be a lot of work. Oh well.
dullard
Elite Member
- May 21, 2001
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Yes, it looks like you are fine this time. But, sadly, many people don't have $349.21. So what can they do? It is just bad practice to get yourself stuck on 0% CC loans. Instead, most companies will knock of 10%+ of the price if you DON'T use the 0% offer. Thus, take the lower price and pay it in full (if you use a CC with a grace period, you can have up to 6 weeks interest free anyway).
I assume it is 100% computerized by the credit reporting agencies. Heck, even if the credit report is incorrect, you might be stuck with 30% interest CC bills. Not to even mention identity theft possibilities.
Just checked a couple of my other cards as well, don't see anything like that on the others. They do have the normal thing slike if I default on thier card they can do whatever they want pretty much, but i don't see anything about if I mess up on a card from someone else.
Yeah that would really suck if it was a mistake on the report instead of something you actually did. I don't really get stuck on the 0% cards. I have used it with my circuitcity card twice now and once on my HHgregg card. Didn't have any problems, but I can see how it can become an issue if you mess up, or if you just don't have the cash to make the payments. I use them, so I can make smaller payments on big purchases without having interest accumulate. But if I had to I could pay for the projector in 2-3 months at the latest. And even witht he 0% I will still probablly have it paid off long before the 2 years is up.
I bought my first mp3 player a couple years ago thanks to 8 months no interest from Best Buy.
Just know not to make any other purchases on that card until you pay off the initial charge. If there are two different items on a statement at different interest rates, any payments made will always be applied against the lesser interest item. So if you make another $100 charge, that $100 is going to be accumulating interest every month until you pay off the $1,300.
Same thing goes with balance transfers, guess what, that balance transfer fee is gaining interest every month until you pay the rest of it.
Just know not to make any other purchases on that card until you pay off the initial charge. If there are two different items on a statement at different interest rates, any payments made will always be applied against the lesser interest item. So if you make another $100 charge, that $100 is going to be accumulating interest every month until you pay off the $1,300.
Same thing goes with balance transfers, guess what, that balance transfer fee is gaining interest every month until you pay the rest of it.
I think it is pretty bogus they let you purchase something over the limit of the card, just shows they want you to do that sort of thing, it should be illegal.
Dulanic
Diamond Member
- Oct 27, 2000
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Was about to say, it shouldnt let you go over the limit since it's the store card. It was a mistake on their part hence the reason they did that, I know for a fact it normally does not allow you to go over your limit. Typically I use mine for the 5% rewards instead of the financing.
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