Saturday, March 26, 2011

Some credit cards start charging "minimum interest" even on zero balance

This isn’t really an “identity security” problem, but  I want to report it. Today, I noticed that FIA card services, on the credit card for my mother’s estate, charged a minimum interest fee of $1.50 even though the balance due was paid in full (as it always is). 

I haven’t noticed this on any of my other cards yet.  But I wonder if that’s next. FICO scoring rules favor having more cards and not using all the credit.  But that could mean even more fees.

Banks have complained that people who pay the balance in full (and follow Suze Orman’s advice) are the “freeloaders”. 

Tuesday, March 22, 2011

Abuse by debt collectors increases as economy remains tough

Diane Sawyer reported on ABC World News Tonight that complaints about abusive debt collection practices are up 17% in the past year, maybe because of the economy.

Consumers can write the debt collection company and tell the company not to call them again, although that does not relieve the debt.  Consumer could still be sued by the debt owner (and sometimes collection agencies have “bought” the debt, a practice that sounds like champerty to some).

We’ve discussed the FDCPA here before. It’s illegal for collectors to make threats.


Monday, March 21, 2011

Another company, "Trusted ID", says it acts like an ID "reputation defender"

Here’s another identity protections service I ran across, “Trusted ID”.  The company says it offers the credit reports from the three major vendors, and monitors “black market websites” for stolen personal information (in a manner that sounds like it resembles “Reputation Defender” a little). The web reference is here.  

When I was on the site, I was called away by a phone call, and when I went back, it seemed a Live Agent wanted to chat with me. Interesting. I’ve never seen that before.