Comments on: The Ineffable Hand Of The Free Market http://www.1115.org/2009/10/28/the-ineffable-hand-of-the-free-market/ Fri, 10 Feb 2012 06:09:43 +0000 hourly 1 http://wordpress.org/?v=3.3 By: matt http://www.1115.org/2009/10/28/the-ineffable-hand-of-the-free-market/comment-page-1/#comment-162907 matt Fri, 30 Oct 2009 00:17:08 +0000 http://www.1115.org/?p=10936#comment-162907 trashing your credit rating out of spite or protest sounds like a really bad idea. trashing your credit rating out of spite or protest sounds like a really bad idea.

]]> By: Rick http://www.1115.org/2009/10/28/the-ineffable-hand-of-the-free-market/comment-page-1/#comment-162906 Rick Thu, 29 Oct 2009 22:24:44 +0000 http://www.1115.org/?p=10936#comment-162906 I also received that letter. And in answer to why they don't see that screwing their customers is not a viable business model, it's because the customers continue to take it with no major protest. People feel that they must have credit cards, and the lenders have joined together, unofficially of course, to raise the rates to the maximum that people can pay. They claim it is due to increased risk and defaults, but raising rates is only going to increase defaults, either because people can't pay, or because they fell betrayed and taken advantage of and won't pay. I put myself in this category. I have a fairly large balance that is going to 29.99% even though I have never missed a payment in the 25 years I have had this card. I might possibly be able to pay the higher rate, but I refuse to. And I am not going to cancel the card and pay off at the old rate either. I am going to stop paying and let the loan go into default. Let them trash my credit rating - with these rate policies it's meningless anyway. The only way I can see for these companies to come to their senses and return to reasonable practices is if the customers they are screwing can band together and refuse to accept it. I propose a payment strike. Until these companies lower rates back to a reasonable amount, do not pay them anything. If they go from receiving timely payments of principle and interest to receiving nothing due to their abusive practices, they will be forced to return to sound business practices, which include giving they consumer a fair deal. I also received that letter. And in answer to why they don’t see that screwing their customers is not a viable business model, it’s because the customers continue to take it with no major protest. People feel that they must have credit cards, and the lenders have joined together, unofficially of course, to raise the rates to the maximum that people can pay.
They claim it is due to increased risk and defaults, but raising rates is only going to increase defaults, either because people can’t pay, or because they fell betrayed and taken advantage of and won’t pay.
I put myself in this category. I have a fairly large balance that is going to 29.99% even though I have never missed a payment in the 25 years I have had this card. I might possibly be able to pay the higher rate, but I refuse to. And I am not going to cancel the card and pay off at the old rate either. I am going to stop paying and let the loan go into default. Let them trash my credit rating – with these rate policies it’s meningless anyway.

The only way I can see for these companies to come to their senses and return to reasonable practices is if the customers they are screwing can band together and refuse to accept it. I propose a payment strike. Until these companies lower rates back to a reasonable amount, do not pay them anything. If they go from receiving timely payments of principle and interest to receiving nothing due to their abusive practices, they will be forced to return to sound business practices, which include giving they consumer a fair deal.

]]> By: tom http://www.1115.org/2009/10/28/the-ineffable-hand-of-the-free-market/comment-page-1/#comment-162869 tom Thu, 29 Oct 2009 18:09:16 +0000 http://www.1115.org/?p=10936#comment-162869 "Everyone knows that a business model inspired by the maxim “you can screw all of your customers all of the time” is not viable in the long-term." this does not stand up due to the existence of insurance companies, banks, and many other widespread "essential" businesses. this kind of behaviour is not new on the behalf of banks. “Everyone knows that a business model inspired by the maxim “you can screw all of your customers all of the time” is not viable in the long-term.”

this does not stand up due to the existence of insurance companies, banks, and many other widespread “essential” businesses. this kind of behaviour is not new on the behalf of banks.

]]> By: kiel http://www.1115.org/2009/10/28/the-ineffable-hand-of-the-free-market/comment-page-1/#comment-162656 kiel Thu, 29 Oct 2009 02:28:00 +0000 http://www.1115.org/?p=10936#comment-162656 Well said, er, posed, er protested! Or all of the above. These people are scum, and obviously in collusion. Well said, er, posed, er protested! Or all of the above. These people are scum, and obviously in collusion.

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