Credit Card Rate Reduction Scams: What to Know

Quick Answer: A U.S. court banned a Canadian telemarketing operation that defrauded 12,000 consumers out of $7.8 million by falsely promising credit card rate reductions. The scammers charged $695 while falsely claiming credit card company affiliations and guaranteeing interest rates between 4.75-9%.At the request of the Federal Trade Commission, a U.S. district court judge has …

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Debt Consolidation Hurts Credit: Myth vs Reality

Quick Answer: Debt consolidation itself doesn’t hurt credit scores, but closing existing cards with good payment history can reduce credit age and available credit limits. The main benefit comes from lower interest rates, not from consolidation alone, and credit unions may access checking accounts if payments fall behind.“Dear Steve,I opened up too many credit card …

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