Goldbug Posted March 4, 2011 Report Share Posted March 4, 2011 This is probably old news to you guys, but I missed it so thought I'd post. I'm shocked, although not surprised. Who would WANT this card?Issuer of 79.9% Interest Rate Credit Card Defends Its Productby Connie PraterFriday, February 12, 2010Link: http://finance.yahoo.com/banking-budgeting/article/108839/issuer-of-79.9-interest-rate-credit-card-defends-its-product?mod=bb-creditcards Link to comment Share on other sites More sharing options...
jq26 Posted March 4, 2011 Report Share Posted March 4, 2011 If the dopes sign up for it, and you have a borrower and lender that agree on the terms, then who is the nanny government to intervene? I'm surprised that someone like you who has a healthy dose of skepticism of government policy would see a problem with this. These cards are for people with putrid credit. Maybe the default rate on these cards are >20%. When you add in the low limits (low collection of merchant fees) and administrative burden of billing, maybe 79% apr isn't enough. I don't know, and I'm not sure its my business to find out nor anyone elses.------------------------------------------------------'Has First Premier gotten any takers on the 79.9 percent cards? Beacom called the response "phenomenal," adding 2 percent of people receiving the offers have applied for the cards. Their normal response rates is 1 percent to 1.2 percent, he says. "It's double what our normal product was."' Link to comment Share on other sites More sharing options...
JeeperInAZ Posted March 4, 2011 Report Share Posted March 4, 2011 When I first started rebuilding my credit and needed some quick FICO points I signed up for one of their 59% cards. Its purpose was solely to get a revolving line onto my credit reports. It served a purpose. I've since received an offer from them for a 19% card with a $1K limit - when I called them to get it they said they only allowed 1 account at a time and that I would have to close the old account, then wait 90 days and re-apply. My response was something like I don't need your card that bad. I figure I'll kill off the card next year when the monthly fees kick in...yes, they actually have the nerve to charge a monthly service fee to keep the card after 12 months. Until then I'll let it keep reporting and increasing my scores. Link to comment Share on other sites More sharing options...
jensendj Posted November 12, 2011 Report Share Posted November 12, 2011 If your sole purpose is to restablish credit and you pay your bill in full each month then the interest rate doesn't really matter.I got one of these cards when it was the only unsecured credit card I could get. I've paid it in full every month and avoided any fees. My credit score has gone from 590 to 733 and I am now eligible for better cards. This card helped me get there. I'm glad it was available.Just don't misuse it or they will hammer you hard. Link to comment Share on other sites More sharing options...
freddiemac Posted January 17, 2012 Report Share Posted January 17, 2012 in CO we have a 45% usury cap in the statutes hahaha who would want that! Link to comment Share on other sites More sharing options...
mj22 Posted January 25, 2012 Report Share Posted January 25, 2012 79% that's insane. Link to comment Share on other sites More sharing options...
PeteDude Posted February 2, 2012 Report Share Posted February 2, 2012 It is insane, but it has its uses, as a credit rebuilder mentioned above. Link to comment Share on other sites More sharing options...
chaoticgrl81 Posted February 7, 2012 Report Share Posted February 7, 2012 I need to rebuild my credit as well. My husband and I are trying to buy a house and with a few negative items on our CRs it's dramatically dropped our scores. We were approved for a $250k loan based on our income, but our scores are what's holding us back. I think this is something to look into...though not at 79%. We have a local jewelry place that offers their own CC and when I initially opened a line of credit, no set limit, my score jumped up about 25 points just for opening it. It shows "paid as agreed" for about 8 months and then they closed it because I didn't use it. I might have to look into that again. Thanks for the suggestion above! Link to comment Share on other sites More sharing options...
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