Recently, I was outraged by CitiBank credit card company raising my interest rate to 29.9% I made a phone call to the service department to discuss this change and try to understand what was happening. I was given no explanation as to a reason, just that this was the new policy. I asked to speak to a supervisor, then attempted to negotiate a better rate since I'd been a loyal customer for 16 years! There was no cutting a deal, even when I offered to pay the card in full. I was told, "accept the rate or cancel your card". I would be a fool to keep a card that charged nearly 30% on any new purchases. I canceled the card, said a few not so nice things and hung up. I sensed that this type of business practice was about to start a revolution.
I was dazed by the lack of caring that Citi Bank was displaying for it's customers. The conversation with the bank began to settle into my mind. I had two other cards so I wasn't too worried at that point. Yet, as I began to sit with what I had just experienced, my mind began to realize that this was just the lead in to what we, as a country, are about to experience with the banks. I knew it was a matter of time before all the card companies did the same thing and I, along with the rest of America, would be without credit, unless accepting the rape of these financial institutions. It was time to sit up and take notice and take it quickly.
I began to feel an urgency to move fast. My option was to continue time payments at my existing rate until the balance was paid off or pay the card off immediately, which would deny Citibank another nickle of interest from me. I began to put into motion the plan to pay the balance to zero NOW. My second step was to invest the monthly payments that I would have been making to my credit card, into my savings. The time had come to realize that a credit card lifestyle was no longer going to be an option. This sounded dramatic, yet the simple truth is that I am not willing to buy a product and pay 30% over time to pay it off. The realization was hitting me hard that a lifestyle adjustment needed to occur. The instant gratification society was coming to a crashing end and I was onboard the locomotive! I could see it. I began to rethink my life, my expenditures, my lifestyle. Not only those areas but I began to think that we, as a country, were headed for a depression.
The banks who lured us all into the luxury of credit, were now slapping our hands and penalizing us for usage! The smug people behind the desks who were ripping away our "Easy Street" will soon be jobless as the country begins to take a full swing towards old time financial values. The days of the 1950's, when we thought about a purchase before buying, when we saved for it, dreamed of what we wanted and relished in the delight of the hard work it took to get it, is happening; it is coming!
Brace yourself America! Prepare to tighten and live with less. This may not be easy, it's going to hurt, because we as a society have been use to having so much. Many jobless souls have lived on credit cards to just survive. What will they do now? Will people be throwing themselves out of buildings as in the days of the Great Depression? I hope not. I hope those in vises will get the counseling they need to work through to a solution. A problem is only a cause to find a solution. America in general is revolting.
Not only is a revolution occuring, according to Youtube and the News, but a huge social change is underway. It's a change we need as a society. We have been like a runaway train and our engine was indeed the financial instutions and the government. We, as a people, are not victims. We have the power to fight back. Yet, I encourage those who fight, to be smart about the way they go about fighting the system. Do NOT damage the good credit you have worked a lifetime to build. If you owe the debt then you need to pay it. That is the honorable thing to do. The credit was extended to you, it is your responsibility to repay it. I do not agree with the current wave of withholding any payment until the credit card rate is reduced. That is hurting oneself and setting oneself up for hardship down the road. Instead, I believe we should pay the bill off at the rate you had, cancel the card. Then adapt a lifestyle of saving those former payments by putting them into savings. Stop using credit cards. Ask about lay-a-way plans if you need time. The stopage of credit card usage will hurt the banks a lot more than your refusal to pay another cent on your card, for if one stops paying what is owed, then the debtor will be in the wrong.
Americans must take a stand but in a way that is sensible. Some people are in over their heads and will not be able to pay off their cards. They need to get Credit counseling that will assist with creative alternatives. Many people are already walking away from their debt just as they walked away from their mortgages. If you have good credit, be sensible.
If you can not save money, you can not buy. It is that simple.
If you must use a card, pay the balance in 30 days so you will not be charged any interest.
If you can not pay it off in 30 days, DO NOT BUY. It is OK to do without something.
Begin your lifestyle change. We could start a whole website on creative ways to cut corners and still feel good about life. I haven't researched, but I am sure sites such as these already exist.
Start using food co-ops.
Begin neighbor to neighbor assistance instead of isolating.
Have more pot luck dinners for entertaining.
We can go back to a time when life was more simple and people reached out and helped each other. We need that as a society.
Am I an alarmist? I welcome your feedback.
For the Youtube link on the founder of the revolution:
http://www.youtube.com/watch?v=TQDdAuG5oKw
