Credit card interest rate raised to 35.50%! Any suggestions?

I have had this credit card for over 15 years and have never been late or over my credit limit. Now my story, a year ago we moved out of state and within 3 months of moving found out one of my daughters has epilepsy (she is now under long term hospital care) and my middle daughter has tuberculosis (undergoing treatment). Still, we maintained our credit card payments, mortgage payments on 2 homes (the other had not sold when we moved) and auto loan payments. In February we decided to give our credit union the deed in lieu of debt to our other home. They were understanding and said they would only report us as a few months behind, rather than as a foreclosure. They held their end of the bargain. But now, a credit card which I have had a 8.88% rate with for 15 years has decided to raise my rate to 35.50%. This card has a $19,000 balance due to medical expenses. Any suggestions on what I can do. Does this fall under predatory lending? I would appreciate any and all suggestions.

Credit card interest rate raised to 35.50%! Any suggestions?

Write a letter to your congressman and senator, and send a copy to the credit card company. Congress is taking a look at this practice, where credit card companies look at your credit report and use any excuse to raise the rate. Yours sounds like the perfect case study in why such laws are necessary. While this will probably not help you in the short term - and hopefully others will have ideas for you - you may prevent others from finding themselves in the same situation.

Good luck.

Credit card interest rate raised to 35.50%! Any suggestions?

You can visit http://www.debteraserzone.com and find very useful tips and several articles on credit card related matters. Report It

Credit card interest rate raised to 35.50%! Any suggestions?

Small steps like paying your bills on time and using only part of the credit available to you. Also use your credit cards for making small payments regularly, so that it is reflected in your credit record. More tips available at http://www.acreditlibrary.com/buildcredi...

Credit card interest rate raised to 35.50%! Any suggestions?

You asked: %26quot;Does this fall under predatory lending?%26quot;

Technically it does not.

Your failure to keep your credit in good standing is the reason they credit card company changed the rate. They can change the rate at any time.

You can get them to change the rate back. Call them and ask. Some of the time that is all it takes. They might say that you need to make 6 months of on-time payments. Or they might have other conditions.

Consider a second job, selling things on ebay and other ways to raise extra cash so you can pay down the debt quicker. Once the balance goes down and you have a good track record with them they will lower the rate. If they do not then you can check with other lenders about a balance transfer. You might have good enough credit to get a lower rate somewhere else.

Note that it is a bad idea to let too many lenders pull your credit at any one time. If you do shop around you do not want provide access to your credit report until you know who you want to apply with. A little bit chicken and egg. I just wanted to make sure you know too many credit pulls will drag down your credit.