How's your Lowes Credit Card Balance Doing? single store cards are facing defaults:

"Though only a small corner of the credit card market, cards that can be used only at a single retailer are quickly turning into a big headache for their issuers.

The cards, known in the industry as private label credit cards, tend to be held by riskier borrowers with fewer credit options. Losses on the cards are rising at a faster pace than the broader credit card market — reaching a three-year high of 10.51 percent in January, according to Fitch Ratings, up 44 percent from a year ago. That compares with general credit card losses of 7.5 percent, up 40 percent from the year before.

While private label cards account for only about 11 percent of all credit card loans outstanding, their troubles offer a window into the deteriorating finances of some of the most distressed Americans. And the losses may prove to be a warning of deeper problems ahead for general cards as the economy weakens and unemployment climbs. ....
"

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<http://www.nytimes.com/2009/02/10/your-money/credit-and-debit-cards/10private.html?em>

.....the delinquencies wouldnt have risen so much?

What a business, ripping off your own customers to the point they can no longer afford to pay you back.

You'd save the 10% but then you'd be hooked on using that card with the crap specials they'd send you in the mail. If you gave them your e-mail address they'd send you coupons.

I can't tell you how many dirty looks I got when I refused. I had sales agents even ask me..."Why don't you want to save that 10% today? I would answer..."One credit card is enough for me to keep track of."

I realize that they worked on commission for every card they got a person to sign up for. But, many times it was very intimidating the way they would treat you.

Those were the High Flying Bush Second Term when he told us to SHOP, SHOP, SHOP... I guess it's all imploding and so many folks got suckered in...trying to be nice or trying to think they were saving and ended up underwater...:-(

Places like Macy's would offer to give you 20% off if you signed up for a card. Of course, no one takes the time to think that you get 20% off the purchase but then pay anywhere from 22% to 28% a month on your "discounted purchase".

I avoid these like the plague. I did used to have a Home Depot card, just because sometimes we needed something for repairs or whatever, but we used it as rarely as possible. But for things like Macy's, forget it.

I'd venture to say not enough, so it's a valuable machine for Macy's, and a trap for most customers. Like I said, you'd have to think about it to make it work in your favor. Most people don't, and get sucked in.

but lately, bankcards have overtaken them, especially if the issuing bank has a bullshit reason to jack the rate, like you were late on someone else's card, or you shop at the "wrong" places.

One-chain-only cards made their money when they suckered people into buying crap they really didn't need, they can go suck shit.

.. never a late payment in 8 years, never overlimit. They lowered the limit to $4 over the current balance, then had the gall to say the reason was "Excessive Overlimits & > 50% utilization", this one was at 20%, now 99.9%

That is now a frequent reason to screw you, you are perceived to have gone over the line with someone else, and since they're constantly checking your credit, they pounce on any bullshit reason they can find.

before this crap, all our cards were below 50%. On lowered the limit and put the card at 99% utilization, the rest have been going like dominos over the past month. The ONLY ones that haven't been hit are ones that we use every month, even just a little, best as I can figure, after 3 months of no use, you get a target on your head.

So, the less long winded answer.. yes, got them above 50% now, but only because they lowered the limits on them, on cards with no lates, no over limits.. but not often used.. suddenly WHAM! Lowered limits and the cascade starts.

One or two card issuers can decide to get a wild hair up their ass, drop your credit line down to the existing balance, and the rest of the herd panics!

I really do hope that a lot of the banks finally go out of business over this crisis, instead, we're talking about Turbo Tax Tim funnelling two trillion dollars to them for business as usual.

All I can say is to find a credit union that is less likely to mess with you in the future, and avoid all commercial banks forever.