Discovercard Significant increase on APR without any prior derogatory information being reported. Do not want to cancel card because of long credit history with Discover Salt Lake City Utah

I've had Discover Card for more than 10 years and never had a problem or late payment either. When they jacked up my interest rate recently I was more than pissed off. So I did what everyone should do or try to do - pay it down to zero and pay off the balance every month. I know it may be hard for some but it's worth it.

In the end the credit card companies will be the losers. If I could do it I would never use a card but the system is set up so that a person needs one. You cannot buy an airline ticket, shop on-line, pay your hotel bill etc. without a card of some sort. I'm not going to use a debit card either because there is no recourse if there is a dispute.

Regard the savings you make in interst rates as a return on an investment you have made. No bank or stock market investment will give you the outrages interest rates the credit card companies want. If you do this you will have invested well.

I have read your post and would like to make the following comments. First you mention that the 18% that you were raised to is normally a default rate. That may have been true in the past However those days are long gone! Every card issuer out there has gone to a default rate in the neighborhood of 30% Some are a point or two higher and the lowest I have seen is 28% Secondly you said that the rep gave compitition as the reason for this jump. While your argument about compitition driving rates down would seem to make sense, This year sadly that is not the case, since the first of the year every major issuer has raised rates (Go check out the reports for Chase, Citibank, Bank of America, American Express, and Capital One!) Unfortunately everybody that has a credit card agreed to this when they opened the account, as the terms and conditions say the card companies are free to change the terms as they see fit That clause is in every single credit card agreement out there. It sucks, and I know it feels unfair, but it is what it is. From where I sit, it looks to me like the days of getting a rate less than 10% on anything other than a short term promotion are over! I do hope I'm wrong on that, but I've got a gut feeling I'm not