However, not paying much mind to my statements, I did not know bank sent me a notice that it would raise my rate if I used card past a certain date. I did and I found myself facing an interest rate of 24%. Calling bank and complaining and threatening to take my business elsewhere had no effect.

After that I started to pay more attention to those little slips of paper. Twice more different lenders tried to do same thing. But I followed directions on amendments to credit agreement and wrote bank within time frame given, telling them to cancel my account. You must no longer use card afterward. If you do, you’ve accepted new terms in spite of your letter and you’re stuck with them.

If you have any automatic charges being made to card, including things like credit insurance that lender itself sells you, make sure they are cancelled in writing before cutoff date. One little automatic charge will also constitute an acceptance of changes in credit terms. The bottom line is that lender will consider any little slip in its favor and hit you with higher rate.

As long as you continue to pay your bill under terms of original agreement, bank can do nothing about it. You can pay off bill at whatever pace you see fit, as long as you make minimum payment.

I consider lenders’ actions as akin to kicking you while you’re down. Most people wouldn’t be using up their available credit unless they were already struggling. My credit card payments went up $46 per month on that card. I saved thousands by refusing to go along with other proposed increases.

The issuer of one of my cards that has carried a zero balance for several years has been periodically raising rate to where it is about 25%.

Know your credit card rights and fight back. If you’ve haven’t gone completely over edge yet, you might find a lender willing to work with you.