interest rates

[ceilog]

could someone explain to me why credit card interest rates have not fallen and if anything have increased?

[Pigletion]

Yep! Banks do not make money when interest rates are low. So whilst they look like they are being nice to savers by lovingly taking care of your money (they are not, you are lending it to them, but it's good poitics), they can do what they want to people who wish to borrow, as you need them. Lowering rates on mortgages is good politics and houses are essential (I mean having shelter for yourself, not buying a mansion), but there is no reason to do it on credit cards, they are not essential. Also, your credit card provider likes you paying them interest and doesn't like you paying off your debt. Either way they win!

(this whole thing started with the American's having very low interest rates and the banks looking for new ways to make money.....)

[redcrx]

http://www.theanswerbank.co.uk/Business-and-Fi nance/Question714825.html

[redcrx]

oh, sorry i didnt realise that was your question