DebtReliefCenter.org's mission is to help consumers know the debt relief options available to them. Begin online

A fast and easy way to get your debt relief evaluation and savings estimate.

Answer a few simple questions online.

Get your free debt relief evaluation.

See how much debt relief could save you!

DebtReliefCenter.org's mission is to help consumers know the
debt relief options available to them. Begin online

Or phone
1-866-584-0769

Bank Of America To Raise Penalty Interest Rates

Posted by Meredith Dwyer on April 29 2011 @ 8:05 am

Share this on:

Bank of America is adjusting its penalty rate. Bank of America credit cardholders could see higher interest rates in the coming months, as the company will introduce a penalty fee of nearly 30 percent.

Depending on the cardholders' credit history, such as how much debt they are in, the rate can vary, according to CNNMoney. A spokeswoman for the bank said one late payment will not automatically trigger the fee.

Cardholders will have to be notified by the bank that a policy change is in place at least 45 days in advance, the news source reported. The Credit Card Accountability, Responsibility and Disclosure Act of 2009 restricted lenders from raising rates on established accounts.

Despite this, the fee is very high, and consumers who use the bank should be more cautious, as credit card debt could snowball with a few missed payments. Cardholders must act responsibly with their cards, as letting their bills slip could ruin their credit scores.

Chase and Citi already have penalties that can reach as high as 29.99 percent, the news source added.

Timely articles written by the Editors at DRC

Credit Card News | Credit Card Companies Increase Direct Mail Marketing | Fewer Consumers Seeking Credit Card Debt Relief | New Poll Reveals That More Students Use Credit Cards To Pay For Education | Bank Card Delinquencies Drop To Lowest Levels Since 2002 | Better Credit Card Results Seen In May, Report Shows | Decrease In Credit Card Defaults | Interchange Fee Agreement Reached | Credit Card Charge Offs Decline Once Again | All Michigan Government Offices Now Accepting Credit Cards | Americans Still Not Making Smart Financial Decisions | Debit Card Use High Even During Economic Downturn | International Credit Card Fraud Scheme Halted By The FTC | Fed Approves Final Credit Card Rule | Fewer Consumers Late On Credit Card Payments | Rise In Credit Card Fraud Expected During World Cup | Study: Most Consumers Don't Support Credit Card Swipe Fee Amendment | MasterCard Makes Money Transfer Possible Through Use Of Apple Products | Obama's Credit Card Reform Leads To "transparency" | Under Credit Card Debt, Consumers Have Options | States Retaliating Against Credit Card Swipe Fees | More College Students Falling Into Credit Card Debt | Credit Card Companies Threatening Small Banks | New Overdraft Rules May Stem Debt For Consumers | Atlanta Carries Fewest Credit Cards, Highest Debt | U.S. Bank Provides Credit Wellness Program To Educate Consumers | Consumers Dissuaded From Healthcare Credit Cards By N.Y. Attorney General | Market Sees Highest Credit Card Rates In Nine Years | Parents Have A Heart-to-heart Talk With College-bound Students About Credit Cards | Young Bostonians Concerned Over Credit Card Debt | CARD Act Will Not Always Shield Consumers From Paying More | Charge Off Rates Drop As More Consumers Get A Handle On Debt | Fitch Reports Credit Card Defaults Hit 16-month Low | Credit Gap Continues To Grow, Survey Reveals | Louisiana Hit Hard By Consumer Debt | New Regulations May Tighten Lending Standards | CD Investments Used To Pay Down Credit Card Debt | Saving Money Overshadows Debt Relief, Report Shows | Read Terms And Conditions Before Enrolling In Payment Protection | Consumer Loan Delinquencies Grow During Second Quarter | Consumers Borrowed Less In August | Consumer Debt Remains High | Military Members Carry Large Debt, Report Shows | Default Rates Decline Across All Credit Sectors | 'Get Smart About Credit Day' Provides Chance To Improve Financial Literacy | Financial Illiteracy Causing Shift In Youth Attitudes About 'American Dream' | September Sees Decline In Credit Card Charge-offs | Credit Card Disclosure Agreements Too Confusing | CampusWatch Financial Literacy Program Aids College Students | Eliminating Certain Expenses Before Retirement Can Help Workers Avoid Debt | Consumers Cut Debt In Third Quarter | Consumers Reduce Debt, More Confident In November | Charge Offs Rise In October | Report Cites Metropolitan Areas With Most Credit Debt | Consumers Eager To Avoid Debt This Holiday Season | Consumers Continue To Cut Debt In The Third Quarter | Holiday Shopping Could Push Many Into Credit Card Debt | Consumers Reduce Debt From 2008 Highs, Report Says | Holiday Reports Suggest Consumers Still Suffering From Credit Debt | Household Credit Debt Falls In November | Consumers Can Avoid Debt This Season By Using Credit Wisely, Report Says | Federal Reserve's Duke Speaks About Consumer Debt | Consumer Bureau Policies Could Help Cut Debt | Consumers Could Avoid Debt By Comparing Interest Rates | Decrease In Charge Offs May Mean Less Debt For Americans | Minnesota Sues Discover Bank Over Debt Inducing Practices | Credit Card Debt Likely To Drop In 2011 | Consumers May Be Able To Cut Debt By Adding Rebates | Debit Legislation Could Decrease Consumer Debt | Consumers Cut Debt For 26th Straight Month | Consumers Look To Reduce Their Debt In 2011 | Consumers May Avoid Credit Debt By Using Online Payment Alternatives | Debit May Not Be Best For Credit Card Debt Reduction | Debt-plagued Consumers Could Benefit From New Regulations | Consumers Could Rack Up More Credit Card Debt Next Year | Moody's Reports Charge Off Rate Fell Again In November | Utah Joins States In Effort To Reduce Consumer Debt, Interchange Fees | Opening Fewer Credit Cards Could Reduce Debt Among College Students | Reducing Debt May Take Hard Work, Years To Achieve | New Laws Could Make It Harder For Those Without Income To Accumulate Debt | Consumers Say They Wish They'd Paid Off Debt | Those Struggling With Debt Could Soon Face Higher Fees | Student Loan Debt Rises In November, Federal Reserve Says | Students Still Targets For Increased Debt | Rise In Delinquencies Shows Continued Debt Struggles | Credit Lenders Still Fighting For Debt-inducing Fees | JPMorgan Posts Big Profits On Consumer Debt | Consumers Hit With Auto-upgrades | Travelers, Residents Rack Up Debt With NYC Cab Service | Consumers May Move To Smaller Banks To Cut Debt | Small Businesses Could Be At Risk For Credit Card Debt This Year | Consumers Continue To Pay Off Debt To Lenders | Credit Card Offers Double In 2010, New Report Says | Americans Still Hold Billions In Credit Card Debt | Several North Carolina Areas Make Top 10 For Debt | New Service Could Allow Consumers To Meet More Bill Requirements | Financial Watchdog Agency Solicits Consumer Suggestions | Checking Costs Could Increase Debt | Credit Cards Could Help Consumers Avoid Extra Valentine's Day Expenses | Debit Fees May Not Be Hurting Big Banks | Consumer Stress On The Rise In February | Consumers Put Less Money Toward Savings Accounts | Understanding Credit Agreements Can Help Avoid Debt | Americans Continue To Pay Off Credit Debt In January | Consumer Confidence Increases In January | Healthcare Credit Cards Carry High Risk | Consumers Not Depending On Credit Cards | Credit Card Debt Still High Despite Decrease | New Bank Interchange System Announced | Consumers Benefit From The CARD Act | College Students Obtaining Fewer Credit Cards | Durbin Amendment Affecting Debit Card Fees | Americans Still Concerned About Credit Debt | African Americans Have Much Of The Country's Debt | Bank Of America Default Rate Drops | Credit CARD Act Helps Consumers Avoid Debt | Credit Card Delinquencies Decline | A Lack Of Free Checking Shouldn't Deter Accountholders | Still Work To Be Done On Behalf Of Credit Card Users | Credit Card Rates To Be Lowered | Wells Fargo Removes Credit Card Rewards Program | Less Consumers Prefer Credit Card Payments Over Mortgages | Credit Card Debt Protection Doesn't Pay | Good Credit Is Important For Students | Credit Card Debt Is Avoidable | ABA Report: Credit Card Delinquencies Down | Be Mindful Of Credit Card Policy | Student Loans More Burdensome Than Credit Card Debt | Retail Sales Rise; Consumers May Use More Credit Cards | Capital One Charge Off Numbers Drop | Debit Customers: Look For Credit Cards | Student Credit Cards Can Be Helpful | Consumers Moving Away From Checking Accounts | Cash Back Rewards Attract Consumers | High Credit Scores Can Sometimes Hurt | Young Adults Struggle With Finances | Americans Increase Credit Card Use While Traveling | Mortgage Delinquencies Can Cripple Credit Scores | Teens Should Use Checking Accounts | Bank Of America To Raise Penalty Interest Rates | Some Parents Unable To Get Credit Cards | U.S. Credit Card Losses Fall | Credit Cards For Those With Poor Finances | Card Issuers Finding Ways To Students | Report: Credit Card Interest Rates Stable | Store Credit Cards Likely To Increase Debt | Capital One Charge Offs Fall | Report: U.S. Credit Card Delinquencies, Charge Offs Fall | Report: Business Credit Cards Pose Risk To Consumers | Banks Increasing Credit To Higher-risk Consumers | Credit Card Delinquencies Fall | Credit Card Charge Offs Fall | Consumer Credit Increases | Consumer Purchases To Drop Due To High Prices | Americans Vacationing Closer To Home | Keeping Up With A Budget Can Be Difficult | Many Americans Committing Identity Theft | New Hot Line Takes Aim At Consumers’ Credit Card Complaints | Economic Optimism, Personal Debt In State Of Flux | CFPB Mandates Credit Disclosure To Denied LendersCFPB Mandates Credit Disclosure To Denied Lenders | Responsible Debt Management Key Factor In Drop Off In Credit Card Balances | Tips To Obtain Credit Card Debt Relief | Credit Card Use Dropping On College Campuses | New Commerce Department Report Indicates Stagnant Economy | Stocks Reflect Investors’ Skepticism | Consumers Rank Credit And Debt Issues, Auto Repair As Top Grievances | Fed: Consumer Borrowing Spikes | Report: Incomes Plummeted In 2009 | Credit Card Delinquency Rate Falls

Physical, Mental, and Emotional Wellness | Children and Families | Avoid Scams | Small Business

Disclaimer – We do not charge any upfront fees and you will not be charged any fee until you approve the debt consolidation, debt management, or debt settlement plan, and at least one of your debts has been reduced or settled. As each debt situation and program is unique, fees and costs vary. Please contact a debt relief specialist for a debt relief analysis and savings estimate and complete program details. Your debt relief analysis and savings estimate is free, will not affect your credit, and you are under no obligation to enroll in, or purchase, any product or service.