First Premiere Removes 59.9% APY Credit Card . . . Temporarily

[BankruptinNJ]

February 17, 2011:

First Premier Bank yanked its fee-laden 59.9% APR MasterCard from its credit card offerings.

If you go to the company's website, this message appears: "The credit card you have shown interest in is currently not available."

Customers calling First Premier's toll-free number to open an account are given this automated message: "The offer associated with this phone number is no longer available."

A First Premier spokeswoman said the card has been so popular that the bank has reached its issuing limit for the month.

"Due to the high demand for this credit card, we have reached our monthly volume requirements and are not currently offering this product," she said. "Individuals are being asked to consider another offer at this time or they can check back with us next month."

Taking the place of the 59.9% card is a secured credit card with a 19.9% APR. With secured cards, payments are reported to credit bureaus just like with credit cards, allowing consumers to build their credit. But customers have to deposit their own money into an account, so they are technically charging against their own cash. If they don't make payments, the bank keeps their money.

The 8 least evil banks

The 59.9% card, which had nearly 300,000 active customers as of early February, charged more than $100 in fees per year and typically extended a credit line of about $300.

The bank originally offered the credit card with an even higher rate of 79.9%. But the company found that too many consumers ran up their bill and then didn't pay, First Premier CEO Miles Beacom told CNNMoney last month.

Beacom said the card serves a growing need for customers with less than perfect credit.

http://money.cnn.com/2011/02/16/pf/first_premier_credit_card_removed/

[tobee43]

what can anyone say about this...it just shows how desperate people are,

i know it is difficult to do without a credit card in some cases...i.e. rent a car., etc. but it most certainly can be done with a debit card.

personally, i was in such a hurry to re-establish our credit and we have 3 cards...good interest rates and have made a decision NOT to use them at all...........ever....don't care.

and i know that's easy for us to say now that we closed on our new house this past week...which was owner financed....went right around the banks...which is now our intend forever. i'll buy a $500 car before i will allow anyone to charge me 25% interest!

so much for the new consumer protection laws...

[helpme2010]

February 17, 2011:

First Premier Bank yanked its fee-laden 59.9% APR MasterCard from its credit card offerings.

If you go to the company's website, this message appears: "The credit card you have shown interest in is currently not available."

Customers calling First Premier's toll-free number to open an account are given this automated message: "The offer associated with this phone number is no longer available."

A First Premier spokeswoman said the card has been so popular that the bank has reached its issuing limit for the month.

"Due to the high demand for this credit card, we have reached our monthly volume requirements and are not currently offering this product," she said. "Individuals are being asked to consider another offer at this time or they can check back with us next month."

Taking the place of the 59.9% card is a secured credit card with a 19.9% APR. With secured cards, payments are reported to credit bureaus just like with credit cards, allowing consumers to build their credit. But customers have to deposit their own money into an account, so they are technically charging against their own cash. If they don't make payments, the bank keeps their money.

The 8 least evil banks

The 59.9% card, which had nearly 300,000 active customers as of early February, charged more than $100 in fees per year and typically extended a credit line of about $300.

The bank originally offered the credit card with an even higher rate of 79.9%. But the company found that too many consumers ran up their bill and then didn't pay, First Premier CEO Miles Beacom told CNNMoney last month.

Beacom said the card serves a growing need for customers with less than perfect credit.

http://money.cnn.com/2011/02/16/pf/f..._card_removed/

This was the card I posted about that initially had a 79.9% interest rate.

Why would anyone think there is anything wrong with this high an interest rate? I say its about the same as someone selling body parts to people who are dying for hundreds of thousands of dollars or lets make this more realistic, just like what some store owners in my area were doing after the earthquake, selling water for 4 times its normal cost.

Or during Hurricane Katrina, selling gas at twice the normal amount.

Hey people are suffering, so why not take advantage of them

[wonderingrov]

Not really any great loss. I don't care if I did have to file bankruptcy, I'm not going to pay that kind of interest. I'm bankrupct - not stupid.

[tobee43]

This was the card I posted about that initially had a 79.9% interest rate.

Why would anyone think there is anything wrong with this high an interest rate? I say its about the same as someone selling body parts to people who are dying for hundreds of thousands of dollars or lets make this more realistic, just like what some store owners in my area were doing after the earthquake, selling water for 4 times its normal cost.

Or during Hurricane Katrina, selling gas at twice the normal amount.

Hey people are suffering, so why not take advantage of them

and that's the SAD truth for certain.......those animals...may they rot!

[helpme2010]

Never in my entire lifetime have I seen so much immoral and unethical behavior by corporations and government officials. I of course remember the Ford Pinto case where Ford decided it was cheaper to let the owners die or become burned from car crashes than to fix a simple $12 baffle on each of the cars.

But society today blatantly rewards unethical behavior no matter who gets hurt. Corporations simply will not do the right thing. It's all about profits.

[CDF]

Loan Sharking

It used to be that organizations that participated in predatory lending practices such as charging 59.9% were considered loan sharks... wtf

[csonly]

We have gotten offers in the mail from this company, I never opened the envelope, straight to shredding. Not everyone looks at the interest rate and reads the fine print, so they are suckered in. What a disgrace for this company to do this. No one needs a credit card that bad, especially with such a low limit.

[helpme2010]

It used to be that organizations that participated in predatory lending practices such as charging 59.9% were considered loan sharks... wtf

CDF, I can trust Guido the loanshark a lot more than I can trust a predatory credit card company.

[justbroke]

No one realized that First Premiere is actually BRAGGING about having a 59.9% APR and that people are lining up for it?

[helpme2010]

No one realized that First Premiere is actually BRAGGING about having a 59.9% APR and that people are lining up for it?

I saw that in the article on Yahoo and it just blew my mind away. They were getting a lot of takers at 79.9% as well, and a host of other rates, some much lower than 59.9%, but they found 59.9% is the magic number.

This just amazes me. I wonder if they sell ice cubes to eskimos as well.

[carlsbadmike]

I have one of these cards from First Premier at the 59.9% interest rate. I pay it off every month so there's no interest charged. First Premier was the only company that would approve me, post BK. I did receive A LOT of other "Pre Approved" applications only to be declined when I applied on line. Several months later, I was able to get another card for a 29.9% interest rate through creditone. I pay it off every month so there's no interest charged. Both of these cards have the same annual fee. At the time that I got my First Premier card, it seemed like it was my only option to start rebuilding my credit. I did not know that I would be able to get a lower rate with another company because I had been denied so many times. I did not want a secured card. All I can say is "Live and learn".

[helpme2010]

I have one of these cards from First Premier at the 59.9% interest rate. I pay it off every month so there's no interest charged. First Premier was the only company that would approve me, post BK. I did receive A LOT of other "Pre Approved" applications only to be declined when I applied on line. Several months later, I was able to get another card for a 29.9% interest rate through creditone. I pay it off every month so there's no interest charged. Both of these cards have the same annual fee. At the time that I got my First Premier card, it seemed like it was my only option to start rebuilding my credit. I did not know that I would be able to get a lower rate with another company because I had been denied so many times. I did not want a secured card. All I can say is "Live and learn".

carlsbadmike, I would say put a huge red mark on your calendar each month a week before your bill is due, set off alarms, internet email reminders, etc. etc. tie a string around your finger, watch out for Murphy's Law, well you get the point. Don't ever be late on a payment, cuz that has got to burn!!! But I understand what you are saying, it is the only lifeline you could find. I have my girlfriends credit card as an emergency for say a mechanical problem with the car, otherwise, I have my debit card and of course cash.

But I never want a credit card again (other than one for an emergency situation that arises, where I will pay it off when the bill arrives).

[carlsbadmike]

I pay the First Premier bill the day after it arrives in the mail via check to prevent any charges. On line payments cost more. Isn't that crazy these days?

[mom2crazies]

This makes me sick. I am really hoping that what really happened is that the executives actually received some sort of soul and that is just want they thought would be good for PR. *******s.