interest rates Tag

28 Sep Corporate Greed! Chase pays $0.62 interest on $80,000+ savings account and charges same customer over 27% on Chase credit card!

A friend recently showed me his Chase savings account statement revealing Chase paid him a measly $0.62 interest for the month when he had over $80,000.00 in the account!  Yet Chase is charging this same customer 27.44% on his Chase credit card! To add insult to injury, my friend called Chase and...

Read More

31 Jan Are Credit Card Offers Of Zero Percent A Good Deal?

Have you received an offer for 0% financing from your credit card lately? A careful look at the terms of such offers reveal the continuing traps of the finance industry on consumers. Time for some grade school math and a different way of looking at the world.

Consider the offer of zero percent for six months. Free money, right? Such offers usually contain a service fee of 3% of the money advanced. So a consumer who takes advantage of a $1,000 offer will pay $30 for the privilege. A three percent fee is equivalent to a 6% annual interest rate. ($1000 x 6% for one year 6 months = $30) That is to say, if you borrowed one thousand dollars for six months at six percent, you would pay thirty dollars in interest. It is one and the same.

An offer at 2.99% for the same time is not the same. If you borrowed the same $1,000 for six months, you would only pay $15.00 in interest. Which is the cheaper deal, 0% or 2.99%?

The real problem is what happens after the "special" deal ends.

Read More

14 Nov Banks Get Bailed Out; Punish Consumers In Turn

Large U.S. banks are receiving billions of taxpayer investments and cheap loans. How is that being passed on to consumers? With higher interest rates and fees, harsher lending standards and mass layoffs. Unless you live under a rock, you have heard that banks are being bailed out of their poor lending practices in ever way the government can think of. The government hopes that this will unfreeze the credit markets and allow business and consumers to start borrowing again, at reasonable rates. There's a sucker born every minute.
Read More