The power of YouTube...
Last week we mentioned a video we found (I still don't recall how I stumbled upon it) [Sep 17: YouTube - Debtors Revolt Begins Now] in which a woman goes on a relatively discerning rant on the actions of credit card companies, in terms of unilateral rate increases. Well, apparently this video spread like wildfire and it caught the attention of some top honchos at oligarch Bank of America (BAC).
The Huffington Post reports from there
- Two weeks ago, Ann Minch of Red Bluff, Calif. announced in a YouTube video that she'd launched a one-woman Debtors' Revolt and would refuse to pay off her credit card balance after an unfair interest-rate hike. Now, after her video made a huge splash, Bank of America has agreed to reduce her rate.
- Minch said in a video posted Saturday that a Bank of America executive contacted her on Friday. He asked me to talk a little about my personal financial situation so we can negotiate some kind of agreement in regard to my existing credit card account, she said. The executive tried to get me to agree to 16.99 percent and I said, 'No, nope, I believe because you guys are getting your money from the Fed at zero percent interest... that 12.99 percent is a more than generous profit margin for you guys.' So he did finally agree to that and he also agreed to send me that in writing. (Her rate had been 12.99 percent for a long time before it shot up this year.)
- Minch's first video has been viewed over 240,000 times. After the Huffington Post featured the 46-year-old stepmother of two in a story, she found herself inundated with media requests from the likes of NBC, CBS, Fox News and also a local reporter.
Nice work Ann, unfortunately such shock and awe tactics only work a few times, because the 3rd, 4th, or 5th person who tries this won't capture the public's (nor media's) attention. So to quell the peasantry, it is right for the oligarch to smile and go along with the 1st rebel (perhaps 2) and then once the public's attention reverts back to Dancing with the Stars, continue your ways. Well played Bank of America.
What is hilarious is the Bank of America executive's reason for the raising of the rate was completely arbitrary versus what the customer rep told her a few weeks ago. We know the truth sir - you are raising rates across the board ahead of new regulations coming in 2010. You just won't admit it... parry, thrust, deflect, and profit.
p.s. somehow Karl Denninger got a plug at the end of her newest video - what a small, small world... after all.