OK, WTF?
This article on CNN relates to a lady who got a credit card with a 79.9% interest rate from "First Premiere Bank" (real classy name, there!). The bank defends the rate, but has recently dropped it to 59.9%. And they claim that hundreds of thousands of people are applying for these cards daily, and that more than 3 million have them.
Most have credit limits under $1000.
In addition, they charge annual fees of more than $135 (!!)
What is the point in having a credit card with such a low credit limit and such a high interest rate? You might as well just pay cash.
Or just get a debit card, for chrissakes. Sheesh. No interest on those at all, and you can't go "over your limit" by definition, unless you are stupid enough to "opt in" for "overlimit protection".
Sheesh. Are people really that dumb?
My Capital One card has an interest rate of 7.55% and a balance of ZERO.
Come on, people! Stop being complete idiots, at least. There is nothing, repeat, nothing that you need a credit card for badly enough to endure a 59.9% interest rate.
Sometimes I wonder if it is even worthwhile blogging about this, if people are going to be THAT stupid!
And please, don't tell me that "people with poor credit" need such cards. People with poor credit need to stop using credit, period.
End of Story!
