Please stop purchasing at BestBuy

I buy camera gear like everyone here and occasionally use a BestBuy credit card to fund a purchase. I'm good about paying off my purchases quickly because i make money with my photography hobby. I have never missed a payment. I pay my bill early.

I received a letter today in the mail notifying me of an obscene increase in the interest rate they will be charging me. The notice indicates the rate will be between 24 and 30 percent annually. I asked why my personal account rate went up so drastically and was informed that it is not just mine, but it is all of their customer's HSBC credit card accounts. I am outraged and I am recommending in the strongest terms that anyone who has bought products from Best Buy should immediately cease doing any business with them whatsoever. Their credit card account behavior can only be described as predatory in an economy such as the one we live in today.

There are plenty of other vendors to choose from in buying home electronics and appliances. I recommend using a local shop if it has your brand choice or use online merchants like B&H. Avoid using BestBuy for anything.

Companies such as BestBuy will not stop oppressive business tactics like this unless we as consumers come together and vote with our wallets.

Please help me let BestBuy know that this is unacceptable by not shopping at their stores or online sites until they cease this kind of predatory behavior.

Dan

I agree 100%.

You could max your card with stuff you like, and when they call tell them, "Hey, thanks for the free stuff! Oh, and your welcome for the bailout!"

Just sayin.

It may be that you are among the early ones to get caught in a war between retailers and their credit card vendors. Here's an article talking about it:
http://www.cbsnews.com/stories/2009/07/23/opinion/main5185110.shtml

Is your card one of the "contactless payment" kind---you don't have to swipe it through a reader because a chip in the card takes care of it? Apparently Best Buy was into those big time, but now VISA has sharply increased the fees it charges Best Buy for their use. In fighting back, Best Buy is passing the cost straight on to the card users.

Can you get another credit card with a better interest rate to pay off your Best Buy balance?

PS: Here's an article that recommends people stay away from store credit cards. Having them can actually lower your credit rating by 15 to 20 points, regardless of how careful you are about paying your bill.

http://creditcardforum.com/store-issued-cards/738-best-buy-credit-card-know-before-you-apply.html

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http://www.pbase.com/soenda

pinnacle said:

I buy camera gear like everyone here and occasionally use a BestBuy credit card to fund a purchase. I'm good about paying off my purchases quickly because i make money with my photography hobby. I have never missed a payment. I pay my bill early.

I received a letter today in the mail notifying me of an obscene increase in the interest rate they will be charging me. The notice indicates the rate will be between 24 and 30 percent annually. I asked why my personal account rate went up so drastically and was informed that it is not just mine, but it is all of their customer's HSBC credit card accounts. I am outraged and I am recommending in the strongest terms that anyone who has bought products from Best Buy should immediately cease doing any business with them whatsoever. Their credit card account behavior can only be described as predatory in an economy such as the one we live in today.

There are plenty of other vendors to choose from in buying home electronics and appliances. I recommend using a local shop if it has your brand choice or use online merchants like B&H. Avoid using BestBuy for anything.

Companies such as BestBuy will not stop oppressive business tactics like this unless we as consumers come together and vote with our wallets.

Please help me let BestBuy know that this is unacceptable by not shopping at their stores or online sites until they cease this kind of predatory behavior.

Dan

Click to expand...

Dan,

A couple of things.

1. I use B&H Photo for all my electronics purchases anyway. I rarely, if ever buy from Best Buy anything of large dollar value.

2. Never, ever pay interest to a credit card company. I use Discover only and pay off my balances every month. If I can not afford to pay it off in the 30 days grace period, I don't buy it.

Borrower is Slave to the lender Ever heard that term? Dave Ramsey.com

3. Finally, I don't think it is fair for you to ask for others here to boycott a certain company just because that company changed their interest rate. You agreed to that when you signed your Credit Card agreement with Best Buy. All credit card merchants have the right to raise their interest rates if they so desire up to the maximum rate allowed in the respective state, called usury laws . So, that brings me back to the quote above. Borrower is Slave to the Lender .

I have always believed in the very simply philosophy that Dave Ramsey teaches. If you can't afford to buy it outright, you don't need it.

Sorry you are disappointed with Best Buy, but that is what happens when people get themselves in credit card debt. Next time, if you must borrow, do it with a fixed rate secured loan where the rate will not change.

http://www.daveramsey.com

pinnacle said:

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Click to expand...

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Conrad 'Bye Bye' Birdie
'Aspire to inspire before you expire'.

Soenda said:

It may be that you are among the early ones to get caught in a war between retailers and their credit card vendors. Here's an article talking about it:
http://www.cbsnews.com/stories/2009/07/23/opinion/main5185110.shtml

Is your card one of the "contactless payment" kind---you don't have to swipe it through a reader because a chip in the card takes care of it? Apparently Best Buy was into those big time, but now VISA has sharply increased the fees it charges Best Buy for their use. In fighting back, Best Buy is passing the cost straight on to the card users.

Can you get another credit card with a better interest rate to pay off your Best Buy balance?

Click to expand...

I probably could but this notice is the second one i have received in two weeks from credit card vendors that I have paid on time and way more than the minimum payments.

When I called the first company I received notice from they told me it was just a corporate decision to raise everyone's rates in response to the economy. I asked her if she thought it was a good idea to raise customer rates during an economic recession and she told me it was the credit card company trying to protect itself during a bad economy.

Just as an FYI to those who would like to know, In the USA the top one wealthiest percent of the overall population now own 37% YES..THIRTY SEVEN percent of all of the assets in the US. Just take a guess as to who owns the lion's share of the credit card companies? It is the top one percent of the wealthy, that's who. The top ten percent of the USA's wealthy own 74% of the overall assets. The top twenty percent of the nations population control 85% of the assets.

Guess how much of the nation's assets the USA's bottom 40% of the population hold? The answer is...less than one percent! That leaves a whole 14% for the so called middle class. I've got news for you people. If America is so great, why do eighty percent of its people own less than fifteen percent of the nation's assets?

Why are the bottom 80% paying for the bailout of the credit card companies that are charging us 25-30% interest? Isn't it wonderful to be an American?

Please stop purchasing at BestBuy!

Dan

Soenda said:

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http://www.pbase.com/soenda

Click to expand...

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If you enter into a discussion with the intention of winning a debate you will likely learn little about other perspectives and almost certainly frustrate yourself and the person you oppose in verbal combat.

Conrad Birdie said:

pinnacle said:

I buy camera gear like everyone here and occasionally use a BestBuy credit card to fund a purchase. I'm good about paying off my purchases quickly because i make money with my photography hobby. I have never missed a payment. I pay my bill early.

I received a letter today in the mail notifying me of an obscene increase in the interest rate they will be charging me. The notice indicates the rate will be between 24 and 30 percent annually. I asked why my personal account rate went up so drastically and was informed that it is not just mine, but it is all of their customer's HSBC credit card accounts. I am outraged and I am recommending in the strongest terms that anyone who has bought products from Best Buy should immediately cease doing any business with them whatsoever. Their credit card account behavior can only be described as predatory in an economy such as the one we live in today.

There are plenty of other vendors to choose from in buying home electronics and appliances. I recommend using a local shop if it has your brand choice or use online merchants like B&H. Avoid using BestBuy for anything.

Companies such as BestBuy will not stop oppressive business tactics like this unless we as consumers come together and vote with our wallets.

Please help me let BestBuy know that this is unacceptable by not shopping at their stores or online sites until they cease this kind of predatory behavior.

Dan

Click to expand...

Dan,

A couple of things.

1. I use B&H Photo for all my electronics purchases anyway. I rarely, if ever buy from Best Buy anything of large dollar value.

2. Never, ever pay interest to a credit card company. I use Discover only and pay off my balances every month. If I can not afford to pay it off in the 30 days grace period, I don't buy it.

Borrower is Slave to the lender Ever heard that term? Dave Ramsey.com

3. Finally, I don't think it is fair for you to ask for others here to boycott a certain company just because that company changed their interest rate. You agreed to that when you signed your Credit Card agreement with Best Buy. All credit card merchants have the right to raise their interest rates if they so desire up to the maximum rate allowed in the respective state, called usury laws . So, that brings me back to the quote above. Borrower is Slave to the Lender .

I have always believed in the very simply philosophy that Dave Ramsey teaches. If you can't afford to buy it outright, you don't need it.

Sorry you are disappointed with Best Buy, but that is what happens when people get themselves in credit card debt. Next time, if you must borrow, do it with a fixed rate secured loan where the rate will not change.

Click to expand...

I'm not arguing with your point. I am saying that based on what BestBuy is doing right now, don't purchase anything at all from them. They have as a component in their business model a highly predatory credit card element. Based on that BestBuy choice don't honor them with any business at all.

Dan

Conrad Birdie said:

http://www.daveramsey.com

Conrad Birdie said:

--

Click to expand...

--
Conrad 'Bye Bye' Birdie
'Aspire to inspire before you expire'.

Click to expand...

--

If you enter into a discussion with the intention of winning a debate you will likely learn little about other perspectives and almost certainly frustrate yourself and the person you oppose in verbal combat.

Dan,

It has nothing to do with Best Buy and everything to do with the bank that issues and administers their credit card. The answer is not to boycott Best Buy but to boycott the bank that issues the credit card. Perhaps you can find another credit card to finance your balance with that will not charge 30%, although most banks are doing that today.

By advocating not buying from Best Buy or XYZ store, all you do is hurting other folks who depend on the store for their livelihood.

Unfortunately credit card companies these days do nothing other than reduce available credit and increase the interest rate. It's not Best Buy's fault.
--
Olga

pinnacle said:

Conrad Birdie said:

pinnacle said:

I buy camera gear like everyone here and occasionally use a BestBuy credit card to fund a purchase. I'm good about paying off my purchases quickly because i make money with my photography hobby. I have never missed a payment. I pay my bill early.

I received a letter today in the mail notifying me of an obscene increase in the interest rate they will be charging me. The notice indicates the rate will be between 24 and 30 percent annually. I asked why my personal account rate went up so drastically and was informed that it is not just mine, but it is all of their customer's HSBC credit card accounts. I am outraged and I am recommending in the strongest terms that anyone who has bought products from Best Buy should immediately cease doing any business with them whatsoever. Their credit card account behavior can only be described as predatory in an economy such as the one we live in today.

There are plenty of other vendors to choose from in buying home electronics and appliances. I recommend using a local shop if it has your brand choice or use online merchants like B&H. Avoid using BestBuy for anything.

Companies such as BestBuy will not stop oppressive business tactics like this unless we as consumers come together and vote with our wallets.

Please help me let BestBuy know that this is unacceptable by not shopping at their stores or online sites until they cease this kind of predatory behavior.

Dan

Click to expand...

Dan,

A couple of things.

1. I use B&H Photo for all my electronics purchases anyway. I rarely, if ever buy from Best Buy anything of large dollar value.

2. Never, ever pay interest to a credit card company. I use Discover only and pay off my balances every month. If I can not afford to pay it off in the 30 days grace period, I don't buy it.

Borrower is Slave to the lender Ever heard that term? Dave Ramsey.com

3. Finally, I don't think it is fair for you to ask for others here to boycott a certain company just because that company changed their interest rate. You agreed to that when you signed your Credit Card agreement with Best Buy. All credit card merchants have the right to raise their interest rates if they so desire up to the maximum rate allowed in the respective state, called usury laws . So, that brings me back to the quote above. Borrower is Slave to the Lender .

I have always believed in the very simply philosophy that Dave Ramsey teaches. If you can't afford to buy it outright, you don't need it.

Sorry you are disappointed with Best Buy, but that is what happens when people get themselves in credit card debt. Next time, if you must borrow, do it with a fixed rate secured loan where the rate will not change.

Click to expand...

I'm not arguing with your point. I am saying that based on what BestBuy is doing right now, don't purchase anything at all from them. They have as a component in their business model a highly predatory credit card element. Based on that BestBuy choice don't honor them with any business at all.

Click to expand...

Best Buy has a few other problems other than credit card issues. A big one being customer service issues. I use Best Buy for minor electronics purchases, like printer ink, games, and Dvd's. Maybe a cable or two when needed, or other smal itemss, but never large my camera gear. B&H Photo gets that business.

Anyway, I do understand your issues with Best Buy, but again, that is what happens when the borrower becomes slave to the lender.

pinnacle said:

Dan

pinnacle said:

http://www.daveramsey.com

pinnacle said:

--

Click to expand...

--
Conrad 'Bye Bye' Birdie
'Aspire to inspire before you expire'.

Click to expand...

--

If you enter into a discussion with the intention of winning a debate you will likely learn little about other perspectives and almost certainly frustrate yourself and the person you oppose in verbal combat.

Click to expand...

--
Conrad 'Bye Bye' Birdie
'Aspire to inspire before you expire'.

Olga Johnson said:

Dan,

It has nothing to do with Best Buy and everything to do with the bank that issues and administers their credit card. The answer is not to boycott Best Buy but to boycott the bank that issues the credit card. Perhaps you can find another credit card to finance your balance with that will not charge 30%, although most banks are doing that today.

By advocating not buying from Best Buy or XYZ store, all you do is hurting other folks who depend on the store for their livelihood.

Unfortunately credit card companies these days do nothing other than reduce available credit and increase the interest rate. It's not Best Buy's fault.

Click to expand...

I applied for the BestBuy credit card five years ago. I did not apply for an HSBC card. BestBuy is the name on the card. BestBuy has made a decision to do business with a predatory business partner. The place to start is with the company that offered me the card.

If the BestBuy employees want to defend their jobs, let them take action with their administrators. If not they can take the pain with their company or choose an employer that doesn't partner with predatory companies like HSBC.

Dan

Olga Johnson said:

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Olga

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If you enter into a discussion with the intention of winning a debate you will likely learn little about other perspectives and almost certainly frustrate yourself and the person you oppose in verbal combat.

I agree with you pinnacle. Credit card companies in fact are reported to the better business bureau more often than any other industry. It's an industry that desperately needs more regulation.

It doesn't seem right that a person makes an agreement with a company for a specific interest rate. The customer then purchases some items on the card with the agreed upon interest rate in mind and then the company says ha ha ha, you sucker, we upped your rate.... for whatever reason, with no fault of the borrower. I don't think any other business could get away with that.

BTW... Visa did the same thing to people in Canada about 2 years ago. It would be fine if they said that everything that you purchase from now on will be charged the new higher rate. BUT they don't! They ding you on what you had already purchased.

BTW.... I use a Best Buy card but I always keep the purchase around 2 thousand or higher and pay the admin fee and chose 24 or 36 months equal payments with no interest. I think it would be hard for them to renege on that even if they switched lending companies.

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'The truth is rarely pure and never simple' Oscar Wilde

pinnacle said:

I applied for the BestBuy credit card five years ago. I did not apply for an HSBC card. BestBuy is the name on the card. BestBuy has made a decision to do business with a predatory business partner. The place to start is with the company that offered me the card.

If the BestBuy employees want to defend their jobs, let them take action with their administrators. If not they can take the pain with their company or choose an employer that doesn't partner with predatory companies like HSBC.

Click to expand...

Have you not been reading about all the credit card company shenanigans in the last 6 months? Do you really believe that HSBC is the only bank that's increasing bank fees?
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Olga

springbock said:

I agree with you pinnacle. Credit card companies in fact are reported to the better business bureau more often than any other industry. It's an industry that desperately needs more regulation.

It doesn't seem right that a person makes an agreement with a company for a specific interest rate. The customer then purchases some items on the card with the agreed upon interest rate in mind and then the company says ha ha ha, you sucker, we upped your rate.... for whatever reason, with no fault of the borrower. I don't think any other business could get away with that.

BTW... Visa did the same thing to people in Canada about 2 years ago. It would be fine if they said that everything that you purchase from now on will be charged the new higher rate. BUT they don't! They ding you on what you had already purchased.

BTW.... I use a Best Buy card but I always keep the purchase around 2 thousand or higher and pay the admin fee and chose 24 or 36 months equal payments with no interest. I think it would be hard for them to renege on that even if they switched lending companies.

Click to expand...

They did renege on that. I just purchased a dishwasher 60 days ago and the deal was 12 months on that purchase with no interest. The letter I received rescinded that agreement. 25-30 percent interest starts next month even though the original purchase was 12 months with 0% interest.

They simply do not care who they offend.

Dan

springbock said:

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'The truth is rarely pure and never simple' Oscar Wilde

Click to expand...

Olga Johnson said:

pinnacle said:

I applied for the BestBuy credit card five years ago. I did not apply for an HSBC card. BestBuy is the name on the card. BestBuy has made a decision to do business with a predatory business partner. The place to start is with the company that offered me the card.

If the BestBuy employees want to defend their jobs, let them take action with their administrators. If not they can take the pain with their company or choose an employer that doesn't partner with predatory companies like HSBC.

Click to expand...

Have you not been reading about all the credit card company shenanigans in the last 6 months? Do you really believe that HSBC is the only bank that's increasing bank fees?

Click to expand...

Have you not read all of my posts in this thread? I never came close to suggesting HSBC was the only one. I even stated in another post in this same thread that another predatory credit card company had done precisely the same thing two weeks earlier to me.

I recommend a complete Boycott of Chase Bank at all levels as well.

Dan

Olga Johnson said:

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Olga

Click to expand...

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If you enter into a discussion with the intention of winning a debate you will likely learn little about other perspectives and almost certainly frustrate yourself and the person you oppose in verbal combat.

Is there something about the original agreement that makes that legal?

miick said:

Is there something about the original agreement that makes that legal?

Click to expand...

I don't know the answer to that question. I just know what I read today when i received the rate increase letter. It clearly stated that any current special interest free or reduced rates were to be superseded by the new rates as allowed by the contract agreement.

Dan

pinnacle said:

Just as an FYI to those who would like to know, In the USA the top one wealthiest percent of the overall population now own 37% YES..THIRTY SEVEN percent of all of the assets in the US.

Click to expand...

In 1983 the top 1% of the US population owned 34% of the assets.

Was that, and is the ownership of 37% now, unfair? Should all wealth be confiscated and redistributed? Darned if I know nor will I spend any great amount of time ascertaining what if anything should be done. I started out with nothing and with good fortune I will end up the same way.
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Shoot lots of pictures, always fill the frame

As others have mentioned, look into personal financial management involving common sense behavior along the lines of the Guidance of someone like Dave Ramsey. Follow that guidance, live the life for a few years, then come back and look at what you've posted here. Should you choose to do so, it would be interesting to see what your thoughts were regarding where the real problem was.

You're getting all of the same common sense advice aren't you. The fact of the matter is in 2007 or 2008 (I can't remember which) the average American household had over $8,000 dollars in credit card dept. So borrowing is something that darn near everybody does.

People are ignoring the predatory practices of credit companies and their lack of regulation.

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'The truth is rarely pure and never simple' Oscar Wilde

Not every household uses credit cards that way. I haven't carried a credit card balance in two decades because I made a willful decision early in my career not to buy things I can't afford. I sacrificed a lot in living standards compared to my peers long ago so as to be completely out of debt and able to pay cash for what I want today. I have no sympathy whatsoever for people who could not restrain their desires enough to follow the same path. I resent the open promotion of class envy from those who have been financially reckless toward those who have not. I also resent my tax dollars going to subsidize the bad loans of financial fools. They should have to suffer the consequences of their decisions.

Don't feel alone, we have a Chase credit card and the same thing happened, we always pay way more then the minimum, not only never late but we pay early... last June our interest rate went up to 29.99%! I called, got the same story, they just did it to everyone. I guess banks are trying to really make money off from us so they can stay afloat now a days.
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