The Fine Print

I don't get much mail. Other than utilities, I get most of my bills electronically.

Today I get a bill from Kohl's I have not used the card in quite some time but do so to keep it active. When I do use it I usually pay it off when I get the bill. I am probably one of the few people that will read the inserts with the fine print.

You know what I mean. It is the insert that companies stick in your statement that tell you of changes to your account.

Today I found out that:

1. The late fee is now $29.
2. They have an interest free option each month. You can make three equal; payments and pay your account off. When you do this you avoid any interest charges. May have to remember that if I need to make a big purchase there.
3. The grace period is now 25 day. This is down from 31.
4. The card has a variable rate. It is now prime plus 18.65%. WH-WHA-WHA-WHAT?? Holy crap. That mean that the current interest rate on this card is 21.9% That be some very pricey clothes if you carry a large balance.
5. If you miss a payment, your interest rate now goes up to 24.65% plus prime. That is just freaking crazy. Now the prime rate in at 3.25%. It was not all that long ago that it was over 8%.

All I know if that If I have to charge something pricey at Kohl's I will be using my bank card which carries a nice low interest rate of 7.99%. It pays to read the fine print.