If You Think 29.9% is Bad, Try 79.9%

From Blake Ellis at CNNMoney.com: My credit card had a 79.9% APR

Toni Riss had a credit card with a 79.9% interest rate.

"I had an accident on a motorcycle, went through bankruptcy to pay for medical expenses and my credit went to hell in a hand basket, so I was looking for credit cards for people with bad credit." Riss said.

"I about had a heart attack when I got a disclosure notice saying that my starting rate of 29.9% was going up to 79.9%," said Riss. "It was ludicrous. talk about a highway robbery."

[Yes], that rate is completely legal. The Card Act, which was passed in late 2009 to protect consumers from predatory lenders, only prevents issuers from raising rates retroactively. Credit card issuers are free to charge whatever rate they want at the front end.

I have thought of applying for a card with First Premier myself, but I have decided to stay with my no credit card policy. No matter what the limit or the interest rate. It's the best way to stay out of trouble.

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