Some of these are people that don't understand credit apparently. A payoff amount will go up with interest on a daily basis. A month later will be higher. DUH.
http://www.askmrcreditcard.com/unionpluscreditcard.htmlAnnual Fee and APR - There is no annual fee for the Union Plus Credit Card. The apr ranges between 12.99% to 19.99%. You also get an introductory apr of 1.99% for 6 months. The average daily balance method (including new purchases) is used to calculate monthly balances. The grace period is 25 days (slightly longer than the usual 20 days for most other cards).
Verdict - We recommend the Union Plus® MasterCard® to anyone who is a union member because of the great benefits you will get that are not available with any other credit card. The Skip and Strike Payment options are particularly valuable when one is facing a temporary cash flow problem. You will also get access to the Union Plus Loan Program, which will give you an alternative source of finance. The Scholarship Program will also be very useful to many union members.
Previously posted here:
http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=367x1078 http://blog.aflcio.org/2007/04/26/union-plus-credit-car... /
Union Plus Credit Card Makes the Grade
by James Parks, Apr 26, 2007
Union members already know the value of the Union Plus credit card. Now Gerri Detweiler, a highly respected consumer educator and advocate, is praising the card on Credit Bloggers.
Detweiler calls the Union Plus program a “good guy” example that “should be the standard, not the exception” for affinity credit. Detweiler points out that Union Privilege, which provides benefits to members of participating unions across the country, has worked long and hard to negotiate and maintain a card with strong protections for cardholders.
Read Detweiler’s take on the Union Plus Card here:
http://www.creditbloggers.com/2007/04/a_cobranded_cre.h...Where to get the card:
http://www.unionplus.org /
And more here:
http://www.creditbloggers.com/2007/04/a_cobranded_cre.htmlApril 25, 2007
A Co-Branded Credit Card That Makes The Grade
I criticized co-branded credit cards on a previous post for failing to negotiate better terms for their members/customers. My complaint is that the sponsoring organizations don't seem to care how badly these cards reflect on their brand. If you read the comments on that post, you'll see that some agreed with me, and others basically said "caveat emptor, it's all about making money."
What I neglected to point out was a "good guy" example that has defied the traditional model: the Union Plus Credit Card which is available to some 13 million union members. Union Privilege, the group that provides benefits to union members through unions across the country, has worked long and hard with the issuer (first Household Bank and now HSBC Bank) to negotiate and maintain a card with strong protections for cardholders. They also offer a secured card and rewards card.
Here's how the Union Plus credit card stacks up against the competition:
Punitive Rates
Other Cards
* Increase interest rates if cardholder pays late or for numerous other reasons.
* The average default rate is 25%; many issuers charge 32% or more.
Union Plus
* No increases above the members' standard APR, which is capped at 19.99%
* Promotional rates may rise to the member's standard APR, but only if they are 30 days late on the Union Plus card. That's almost unheard of in the industry.
Universal Default
Other Cards
* Most cards charge "universal default" interest rates based on alleged missteps with another issuers but involving no missed payments to the credit card company itself. This includes other credit card bills, mortgages, auto loans…even utility bills. Even a change in your credit report such as refinancing your mortgage can trigger a higher rate.
Union Plus
* No universal default
Grace Period
Other cards
* Grace periods have been getting shorter -- typically 20 days for many major cards.
Union Plus
* 25 days.
Raise Rates Any Time for Any Reason
Other Cards
* Credit card company contracts currently claim the right to change terms for any reason, including what often seems like no good reason at all!
Union Plus
* Terms can change only if Union Privilege agrees.
Mandatory Arbitration
Other Cards
* Force consumer to waive his or her right to a court trial as a condition of using a credit card. These mandatory arbitration clauses have been criticized as biased in favor of the issuers, and Class Action lawsuits are not allowed.
Union Plus
* No mandatory arbitration clause
Protecting Members
Other Cards
* No special protections for members facing financial hardship. If you want any kind of protection, you’ll have to purchase expensive disability or unemployment “insurance” type coverage.
Union Plus
* Special protections for members facing financial hardship, including:
* Lifeline Trust provides grants to cardholders who experience a significant loss of household income due to a long-term illness or prolonged disability ($100,000 in grants distributed)
* Free consumer credit counseling program with Money Management International which offers free budget analysis
* Disaster Relief Fund provides grants to members affected by a natural disaster ($400,000 provided to cardholders impacted by Hurricane Katrina)
* Layoff helpline assists members who have been laid off with reduced rates or fixed payment plans
* Skip payments (up to 4 per year) assist members on strike or facing other economic crises
* Full-time member advocate that works for Union Privilege to help members with concerns that are not addressed by the bank
* Union Privilege looks out for union consumers every day. Negotiates a contract with bank and oversees and monitors program.
Lest this sound like a commercial for the card, I want to point out that card programs like Union Plus should be the standard, not the exception. Organizations with large membership or customer bases should be similarly fighting for a good deal for consumers who carry cards with the sponsor's name on them. Yes, card programs must be profitable (and this one is) but at a time when long-term loyal cardholders are hard to come by, sponsors and issuers should be looking at ways to build loyalty through strong member benefits -- and by treating the customer well.
Posted by Gerri_Detweiler at 09:03:04 AM in Credit Cards
Need I say more?
Omaha Steve
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