interest rates on business lines of credit

Discuss anything related to interest rates & fees, like balance transfer offers, low rate cards, annual fees, etc.
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Guilty as CHARGED
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interest rates on business lines of credit

Postby Guilty as CHARGED » Thu Jan 15, 2009 9:17 pm

The only thing we have got from the bailout money is interest rates on business credit cards shooting through the roof and credit lines going down. If they received this huge influx of cash which makes up almost 10% of the US GDP then why have interest rates on business lines of credit in all forms from credit cards to loans shot up since then? Where is all this money going I thought they said it would be loaned back to us to jumpstart business and get the gears in the economy turning again and we haven't seen any of that going on now have we.

They say he who has the last laugh and that last laugh is coming from mortgage and credit card issuers.


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Mogul of Pineapples
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Postby Mogul of Pineapples » Sat Jan 17, 2009 4:45 pm

It's disappointing. Small businesses are the backbone of middle America.
Disclosure: I am a moderator/paid staff of this site, which does have advertising relationships with some credit cards that are discussed and linked to. Regardless, anything I say is my honest opinion.

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Mogul of Pineapples
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Postby Mogul of Pineapples » Sat Jan 17, 2009 4:52 pm

It's disappointing. Small businesses are the backbone of middle America.
Disclosure: I am a moderator/paid staff of this site, which does have advertising relationships with some credit cards that are discussed and linked to. Regardless, anything I say is my honest opinion.

Current Cards:
American Express: Blue Cash, Simply Cash Bank of America: WorldPoints Platinum Plus Chase: Amazon, British Airways, Cash Plus Rewards, Freedom, Ink Cash Citi: Thank You Premier, Dividend Platinum Select Discover: More
Primary Everyday Card: American Express Blue Cash
Primary Travel Card: Chase Sapphire Preferred

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fffresh
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Postby fffresh » Sat Jan 17, 2009 11:08 pm

Business credit cards carry higher processing of fees than regular credit cards. They typically cost merchants 1% more. This category of cards is an incredibly profitable enterprise for the creditor, assuming the cardholders do not default.

I do not foresee this lasting for long. Business credit cards are too big of a money maker for them to do so.



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