Here's a story that should make you madder than h... and wake you up to the reality that is the credit card business.

A businessperson applied for and received an Advanta credit card with a low permanent rate of 7.99% - not an introductory rate, a low permanent rate.

• The card was used to pay all of the businesses expenses and was paid in full periodically as cash flow allowed; ususally each month or so.
• All payments were made on time and the credit limit was never exceeded.
• There were no cash advances taken and the "courtesy checks" that came with almost every bill, and which carry usurious rates, were summarily shredded as they were received.
• The businesspersons's credit score was in the high 700's and the business itself had never had any kind of negative report from any credit reporting agency or vendor.

So, what did Advanta do? They raised the rate to over 20% with a two week notice and with no justification other than "We adjust rates based on a variety of factors."

Here's the reality.

• You have NO CONTROL of the money that is tied up by credit card companies or of the rates they can charge you for the use of that money.
• Credit card issuers can raise your rate for NO REASON AT ALL and with minimal notice.
• Unlike the fixed or variable rate mortgage on your home, the terms of the mortgage on your paycheck that credit card companies hold can be changed by them without cause or limit - that's right, they can charge you 100% if they wish.

Credit is a trap. You cannot win the credit game and you cannot escape unless you learn to be your own credit grantor; to be your own bank. It's not as hard as it sounds or appears. You have to change your mind about money and adopt The Money for Life Plan that lets You Be The "Bank". I know this is a commercial of sorts, but I also know that those who follow this approach are rocking comfortably on the front porch while others are sneaking out the back door to avoid the bill collectors.

By the way, the businessperson cancelled the credit card, paid off the balance and now relies entirely on her own bank.