Credit Card Debt Interest

I was wondering if the Credit card reform bill that's been making its way through the House and Senate will help people who already have high interest credit card debts? Is it going to be retroactive, or is it simply to help protect future credit card users, not those with current credit problems?

While the final bill has not been agreed upon between the House & Senate to send to the President for his signature, neither the House nor Senate versions of the bill have retroactive provisions. When the bill is passed, the rules will apply beginning on the start date cited in the legislation (sometime in 2010).

If you need help right now, take action immediately. Do not wait for this new legislation to be enacted.

Hope this helps. Good luck.

2009-05-20 10:27:12 by Randi

www.letsforgetdebt.com - An excellent informative site and service to help anyone with credit card debt. A step by step video talking about the ...

Would it be a smart thing to draw a 401k loan at 5% intest, for 3 years to repay credit card debt? With the current economy, and the fact that this card is above 50 % of available credit, the interest rate went up to 28.99%-on both cards held with this company.

I wouldn't normally recommend tapping into your 401K unless you absolutely need to. With int rate of 28.99% I think you absolutely need to (if you have not other means of raising the money). That amount of interest will keep you in debt for years to come if you don't get rid of it fast.

2008-09-30 08:24:20 by susan_s53051

Price: $10.95

What happens to my credit card debt and more specifically my very low interest for life APR if the company goes bankrupt?

It depends on what is happening with the company at time of bankruptcy (merger, takeover, outright fail . etc.). The most likely scenario however is:

New company picks up the debt - and whatever balance is on the cards is now due to them. For instance, company B buys the portfolio from company C - everyone now owes company B.

Likely with low APR cards, and this isn't guaranteed, but a possible scenario - and it may even be spelled out in the small print that goes with the card - likely though company B won't want to keep this card around. If it says in the contract that they can't raise the rate, then they will likely close the account. Any outstanding balance will be able to be paid back under the current terms, but no more spending. Also, as a great favor, they will likely offer you a new card/account - but at worse terms.

2008-11-23 18:46:38 by all_sk8r

Price: $6.99

I am a graduate student and I am 33 years old. The only information I can locate is geared towards young students. I have a crippling amount of credit card debt but I am currently enrolled in a graduate program and I am eligible for enough excess student loan money to pay off the credit card debt. I realize this is simply "moving debt" but student loans are far more forgiving, can be delayed until after I graduate, and carry only a fraction of the interest rate. Why would I not borrow the maximum allowable amount on a student loan, and apply it towards high interest credit card debts now? Anyone have any ideas? Much appreciated!

Any time you can trade high interest debt for lower interest debt it is usually a good move. Of course, the best situation is to have no debt at all and only use the cards as a convenience (i.e. pay them in full each month to avoid the crushing interest charges).

If you move your debt to student loans be sure to avoid the temptation to once again max out your cards because you will then be left with both student loans as well as high interest credit cards to pay off.

2006-08-30 11:16:50 by Mark M

I think Im getting charged about 8.99% intrest on my credit card. What kind of interest would their be for a personal loan? Would that be worth it?

If the interest rate is lower than the credit card interest it could be ok. The problem would be if you kept the credit cards and ran up more debt where would you go then. Burn the credit cards

2006-10-26 14:08:41 by Theandysullivan