Have you ever had your credit card company cancel and change your card without asking you before? Would you use this new card, or try and find a new one?
In a recent article from FinancialSamurai.com, entitled “Where Are My Credit Card Rights Citibank?”, the author was very disappointed when he wasn’t asked first if it would be OK to change his credit card on him, essentially closing the old card and replacing it with a different one.
The unilateral decision by Citibank is very unsettling, claimed the author. For 7 years, he was totally happy with the Citibank Home Rebate credit card. And then one day, he got a letter from Citibank saying that they would be swapping the card out with the Citi Thank You card.
The author was forced to call all his vendors and update them with the new credit card details and spend a few hours calling/editing his information at his local health club, insurance company, and various online accounts such as Amazon.com. Go online and figure out how to link the new card and cancel the old card. Go through the documents and understand the new interest rate, credit limit, and any hidden fees. All resulting in more wasted time.
The CARD Act is supposed to protect users from unfair interest rate hikes and double billing cycles. You might be wondering, what are a card holder’s rights anyway? According to the author at FinancialSamurai, it’s still unclear what those rights really are.