Originally Posted By Elderp There is an interesting lawsuit agains CompuCredit in that they are being sued for limiting credit based on how consumers used the credit card issued. Among the list of things that were considered bad credit was tire retreading, massage parlours, and marriage counseling. The question is if you pay your card on time, should the credit card company have the right to still limit your credit based on your spending? <a href="http://articles.moneycentral.msn.com/Banking/YourCreditRating/YourLifestyleMayHurtCreditScore.aspx" target="_blank">http://articles.moneycentral.m...ore.aspx</a>
Originally Posted By DAR That's an interesting question. For me personally I try to keep it limited to gas and groceries if I can. Gas simply because of the price plus it is more convienent to pop the card in the pump. But one thing I haven't done and hope to avoid it if I can is I don't want to be somewhere when my purchase is $5 and I'm forced to use my card.
Originally Posted By fkurucz My understand is that CC companies internally refer to customers who do not carry balances as "deadbeats".
Originally Posted By Elderp "My understand is that CC companies internally refer to customers who do not carry balances as "deadbeats"." They can give me a badge and I would wear it with honor. Of course if I am to wear a badge with "deadbeat", I would have to ask them to wear one called "moneygrubber." The money credit card companies make is crazy sometimes.
Originally Posted By Mr X Well, in fairness if you have a no-fee card and you always pay in full, the companies make very little. But they DO make something, I believe (don't they receive small commissions from the retailer on your purchases? I'm not sure how that works).
Originally Posted By Khiori Yes, retailers do pay a fee to credit card acceptance companies (such as Bank of America or American Express, etc). Usually this is a percent of pre-tax charges or a flat fee or a combination of the two. With my company some vendors will change us a flat fee for transactions and others a percentage. I would assume when the credit card acceptance companies (usually banks) settle with the actual credit card companies another fee is taken out.
