My credit card interest rate just jumped to 25% Is this legal?

Q. I just got my credit card statements and almost passed out! The interest
rate on one of them jumped from 15 percent to 29.95 percent after I missed one payment. But it gets worse; the card that I did pay on time increased my rate too. It’s 25 percent now. I know I shouldn’t have been late but I couldn’t help it and why did my other card that I wasn’t late go up? Is this legal? What can I do to get my interest rate down again?

— Alexis, Albany, GA

A. Credit card companies are surprising their customers with increased interest rates, even if they were never late on a payment directly due to their company. It’s a practice called “Universal Default” and you – like millions of credit card consumers are experiencing it firsthand. Some card holders have noticed their interest rates were increased as much as 50 percent.

Read the rest of this June 30, 2008 post and get more answers to 3 additional money questions now at: Money Monday's

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I want to stop fighting about money...HELP!

Q. My wife and I love each other very much but we seem to always get into the biggest fights about money. I think she worries about it way too much and she thinks I’m careless with it. I want to stop fighting about it but even when I try to just change the subject the frustration is still there. Help! — Mike, Queens, NY

A.You and your wife are experiencing a classic case of opposites attracting. Often the things that we find "intriguing" about our partners when we first meet are the very things that make us crazy about them later on.


Read the rest of this June 23, 2008 post and get more answers to 3 additional money questions now at: Money Monday's

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Is it possible to save $1,000,000 in 4 or 5 years?

Q. I need an aggressive retirement plan, is it possible to save $1,000,000 in 4 or 5 years. Is there somewhere I can read up on the topic? – Rick, Tucson, AZ

A. I’m not sure how close you are to retirement, however less than 10 years is a pretty aggressive timeline to accumulate one million dollars while working a traditional job. However it's not impossible.

In addition to contributing the maximum to your 401k plan and IRA plans, I’d suggest reading:

• Beating the Street by Peter Lynch to get a good foundation of investing and learning how to choose stocks that outperform the pros picks

Read the rest of this June 16, 2008 post and get more answers to 3 additional money questions now at: Money Monday's

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Can debt solution companies really help clear up your credit?

Q. Do those debt solution companies really help clear up your credit and if so how do I choose the best one? — Avila, Detroit, MI

A.There are many companies that claim to offer debt solutions and relief and while there are those tha deliver what they claim, others do not. As a credit consumer, especially one who is experiencing financial hardships you need to know your rights as well as which options will be the best for you.

Read the rest of this June 2, 2008 post and get more answers to 3 additional money questions now at: Money Monday's

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