On Wed, 19 Apr 2000, Enrique Diaz-Alvarez wrote:
> I get three or four such offers a week. They specifically say that the rate is
> fixed for the life of the loan -for most US households, that's likely to be a
> very, very long time, unless they file for bankruptcy.
>
>
Yes, the rate is fixed--if you never miss a payment. Miss one payment, the rate jumps. Miss two, it's up around 20%. Given the fact that numerous factors can cause a person to miss a payment--poor mail service, job loss, unexpected expenses--I would imagine it's common for these 10% offers to become regular credit crad debts in a few years. In fact, this is probably what the credit card issuers are betting on.
Miles