my monthly personal responsibility rant

msn had a story this morning about a woman who has decided to spark a revolution against credit card companies - by not paying her bill. i get that she's now unemployed and frustrated that her credit card company has apparently raised her interest rate to 30% despite her working with them to try to lower the rate, and her always paying the minimum payment on time ... but here's the thing:

1. you can't NOT pay your bill. you just can't. when you get a credit card, you sign an agreement that for the privilege of using the cc company's money to buy things that you cannot currently afford, that you will pay them back in a timely manner at the rate that they set. emphasis on "the rate that they set" - not the rate that you think is fair.
2. one of the commenters at the bottom of the article said, "the bank has made its profit on her card use many times over," as a justification for why she should not have to continue to pay. right, because she agreed to let them profit off of her card use! that is the point of credit card companies offering the services they do - visa is not a non-profit company.
3. 30% is an absurd rate, and so is the 12.99% she was paying before, for that matter, which leads me to believe that a) she must be maxing out her card regularly, b) she's not in fact paying on time every month, c) she is an incredibly unwise person for finding such a high rate card, or d) she has a history of credit problems. yes, scott and i have excellent credit, but we were approved for an 8% card in the last six months or so. if you're frustrated with your card company for raising your rates, check out the competition - there are PLENTY of other lenders out there.

one of the other commenters (stlmo), left this note, which i think summarizes my thoughts nicely: "Ann Minch knowingly ran up her credit card bill, spent years making only minimum payments, then decides to protest the interest rate by NOT PAYING AT ALL. And this makes her a hero? I don't think so. If she really wants to protest the ungodly profit, then she should STOP LIVING ON CREDIT CARDS and PAY THE DEBT. PERIOD. If she can't, then she needs to see a debt counselor or see a lawyer about bankruptcy. And if she won't do that, then she's no better than the credit card companies she's protesting."

in her defense, i do think 30% is completely outrageous and unacceptable, particularly as she is unemployed and thus in financial hardship. credit card companies should have policies in place to work with the people they are lending to - i'm sure many card users are currently in states of financial hardship, but a 30% interest rate is not going to help them. personal finance classes will. and, you know, learning to live within their means. if your means don't provide much room for living, i'm pretty sure i pay taxes for a reason and that there are programs in place to help you until you can provide for yourself.