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View Diary: The bank said 'You'll be back.' (549 comments)

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  •  I'm saying they don't like people who don't (0+ / 0-)

    pay them interest, swipe fees, etc., no matter what reason.

    •  If a credit card user is paying down the card... (0+ / 0-)

      ...the credit card company is still getting interest.

      The reason they cut the credit limit is because they're afraid the card user is going to run the bill back up to that limit and then default.

      •  Not in my experience (0+ / 0-)

        which spans >45 years at all manner of income levels, with seldom any debt beyond a modest mortgage, a car loan, and a credit card or two.

        •  Maybe you need to define your terms, then. (0+ / 0-)

          What exactly do you mean by "paying down the card"?

          Because if we're talking about having, say, $15,000 in debt and "paying it down", say, $1,000 a month, you're still going to be paying interest until the entire amount is paid off.  That's how the system works.

        •  Also, let me clarify. (0+ / 0-)

          By "paying in full", I don't mean paying the minimum balance (apparently, a common misconception when people see the phrase "paying in full").

          I mean paying in full--the entire balance.  I.e., bringing it to $0.

          In other words, you start the month with a $0 balance.  You spend $1,000 on the card.  When the payment is due, instead of paying the $15 minimum, you pay the $1,000.  You start the next month at $0.

          If you do that, you never pay interest.

          •  I'm not talking about never paying interest. (0+ / 0-)

            You were discussing the "blacklisting" some people suffer for not using a credit card. I was discussing another punitive behavior that credit card companies routinely employ. Both behaviors are aimed at penalizing people who do not help credit card companies make money.

            Off to watch football.

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