interest rates on business lines of credit

Guilty as CHARGED · 07:17 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.

Mogul of Pineapples · 02:52 PM

It's disappointing. Small businesses are the backbone of middle America.

fffresh · 09:08 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.

07:17 PM	#1
Guilty as CHARGED Green Member Join Date: Dec 2008 Location: Oklahoma City, OK Posts: 5	interest rates on business lines of credit 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.

02:52 PM	#2
Mogul of Pineapples Centurion Member Join Date: Jun 2008 Location: Where the smog from the 101 freeway coats my home's windows... Posts: 634	It's disappointing. Small businesses are the backbone of middle America. __________________ “It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently.” -Warren Buffett Current Cards: American Express: Blue Cash, Simply Cash Bank of America: Visa Financial Rewards Platinum Plus Chase: Rewards Visa, Amazon Visa Discover: More Current Everyday Card: American Express Blue Cash

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09:08 PM	#3
fffresh Centurion Member Join Date: Apr 2008 Location: the edge of the world Posts: 417	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.