Orman says get a CU credit card

March 2, 2010 – Consumer financial advisor Suze Orman told viewers of the most recent CBS “Sunday Morning” show that they should find a credit union credit card to avoid paying the exorbitantly high interest rates charged by major banks.

“Most of you probably already have debt on credit cards,” she said in the segment aired Feb. 28. “Many of those credit cards are charging you 30 percent interest, charging fees, doing all these kinds of things, especially if they are with major banks,” she said.

She continued, “What I want all of you to do is go to creditcardconnection.org and find a good credit union near you . . . Do you know by law federally chartered credit unions cannot charge more than 18 percent interest?”

News media have been talking about credit cards and card rates steadily over the past month as the Feb. 22 deadline for new Credit CARD Act rules approached. The reports note banks’ preparations, through interest-rate hikes and the introduction of added fees, to try to offset the revenue they expect to lose from limits on card practices and disclosures.

A NAFCU survey showed recently that relatively few credit unions have taken such defensive measures, though some have moved to variable-rate plans in their offerings.

CULookup.com, a credit union locator site maintained by NAFCU Services Corporation, allows consumers to search for credit unions in their areas. Each credit union listed can maintain a profile of its offerings and services, and all NAFCU members are entitled to a listing free of charge (state-chartered credit unions ineligible for membership may purchase a listing).

NAFCU is encouraging members to update their profiles to ensure the most recent information is provided to users; for more on that, send an e-mail to info@culookup.com.