Look for the banks to exercise universal default and "we can raise your interest rates due to market conditions" clauses more frequently.
It's a great time to switch to your local credit union.
Credit unions are quasi-socialist organizations that are exempt from Federal income taxes. They used to justify that exemption based on limiting customer base. Membership is wide open now and there is no justification for the exemption other than the politics of the labor movement. If they are going to be free to conduct full blown banking business, they should not be subsidized by the tax exemption because it gives them a competitive advantage over other financial institutions.
This has happened to me with my Capital One card!! I got a letter last week telling me my card that had a %9.9 was now going to be a %15. I called to ask why and they said they were raising all of the %9.9’s to %15 because of the market.
regards - red
We did just that after Capital One informed us the interest rate on our card would go from 6% to 15%. The credit union is 9%, but we usually don't carry a balance any way. Just got ticked off at the quantum jump by Capital One.