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Egg Policy Change ?
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:rotfl:
Mrs Viking has just opened her mail from Saturday and found the Egg closure letter.
I'm not sure what Egg Card she has but the limit is around £12k and zero balance.
She's opening an online account with ICICI and Yorkshire Building Society to transfer her savings out but leaving £1.
Oh how I'm going to enjoy making a FOS complaint on her behalf.:TThe man without a signature.0 -
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Heres a very interesting article. The tide is turning!
http://www.dailymail.co.uk/pages/live/articles/news/news.html?in_article_id=512040&in_page_id=17700 -
There won't be any damage done to peoples credit files, it will just show that an account has been settled. It doesn't show if the account has been terminated so it won't have any detrimental effect.
If anything it could have a positive effect, due to there being 1 less account where there is potential to run up further borrowing.
Also I don't think there'll be any sort of case to answer regarding any kind of damages because all credit providers have it in their terms and conditions that they can cancel the agreement at any time. The same will be the case with the FSA.
Obe_one - I see you only joined yesterday - just to let you know that there is no need to delete your old posts. Some posters have already wondered if you work for Egg or their PR firm.
You are quoted in post 343 but your early posts no longer exist.
Below are some of your statements - if you don't work for Egg how can you be so sure what is going to be reported to the credit reference files and what do you say about the stories Egg have released to the Press about the customers being got rid of having adverse credit history?
Originally Posted by Obe_one
Just to clear it all up for you, the majority of accounts affected are Egg Visa cards, there are a few Egg money cards affected but not many.
I find it amusing how most of the people receiving these letters claim to have near perfect credit files. I have had experience of dealing with customer's credit files in the past and you always here the same story. Everyone claims theirs to be unblemished. In truth when you have the information in front of you, you see that there is invariably something wrong.
It ranges from someone consistently missing payments or being over their agreed limit, to someone having 10 or more active accounts all with a few thousand pounds in outstanding debts right through to the seemingly insignificant 10-20 active products all with zero balances on them (the fact they don't have a balance but they are active accounts does not help your credit file, it shows the lender that if you really wanted to, you could spend 30k in one fell swoop and not have enough money left over to make each and every monthly payment)
The fact is this decision has been made for a reason, if you have received a letter then there WILL be something on either your account with Egg or the information supplied to them by the credit referencing agencies to consider you a risk.
We have too much a of a borrowing culture in society these days. If you can't afford it, don't buy it.
I praise this decision to be honest, it might encourage some people to begin paying back what they owe.
Post #453 by Obe_one
Quote:
Originally Posted by TSx
To those saying it won't affect the credit record, are you sure?
Surely, the card will now have a £0 limit - so it may say balance £975, limit £0 which is obviously a bad sign.
Or will they do it by just maintaining your limit with the CRA's?
Positive. Your file will still show the credit limit as it was when the account was terminated.
The account will just be a repayment only facility.
Post #457 by Obe_one
Quote:
Originally Posted by Niksan
I guess if you got the letter or not, if you so happen to settle an account with Egg early March, I'm sure other banks etc would kind of 'hmmmm' with that on your credit report.
Lenders don't examine your credit file in such greater detail as that.
Checking your details noticing an Egg account was closed in March and linking that with the account terminations just won't happen.0 -
YorkshireBoy wrote: »Provider names are not displayed against the data passed to the organisation searching your file.
So all those expressing concern can stop worrying now.
That's right, it doesn't show the name of the creditor when you are searched but...any active or previously active products show the name of the organisation with which you held the account.0 -
Sorry, but these two statements seem to contradict each other...unless I'm missing something.That's right, it doesn't show the name of the creditor when you are searched but...any active or previously active products show the name of the organisation with which you held the account.0 -
What do they check ? I mean, if some lender checks your credit file and you get declined because you have one to many cards already, is there any reason lenders won't disclose this so you can sort it out, it's not as if it's info like, we don't think you earn enough so you can lie and say you earn more, always been curious about this when I got turned down for capital ones lower rate platinum type card, I wrote a letter back asking why, so if there were problems with my history I could try resolve or rectify it, but they wrote back and just said we reviewed your application, you can have our lower rate, which really didn't help me either way or help me work out how anything works but I totally understand lenders can cherry pick what they like.
Various things such as;-
Your electoral role information
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How many 'CAPS' or previous searches have been carried out in your name in a short period of time (which is why it isn't a good thing to apply for many accounts all at once.
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How much outstanding debt you have including the last 24 months or so of your payment history - Status 1 right through to Status 8 showing how many payments you may have missed in a row
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How many accounts have exceeded their credit limit (if you were once over you limit but you aren't any longer and your file has been updated by the lender, it won't show on your file that you were previously over your limit)
The reason most lenders tend not to disclose the reason why you have been declined is that they all do different sort of checks and one lender may decline you whereas another may accept you considering the same information.
Although an organisation must inform you which credit reference agency they have used, they have no obligation to inform you why you were declined...which is unfortunate for the consumer of course!0 -
Heres a very interesting article. The tide is turning!
http://www.dailymail.co.uk/pages/live/articles/news/news.html?in_article_id=512040&in_page_id=1770
I am glad somebody in the comments section of that article has had a go at Angela Knight. Whenever she appears on television trying to justify bank high charges I have the urge to throw something at the TV set.What part of "A whop bop-a-lu a whop bam boo" don't you understand?0 -
Email or write to your MP if you are concerned about Egg. In addition this is the OFT's email address [EMAIL="menquiries@oft.gov.uk"]enquiries@oft.gov.uk[/EMAIL]0
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vikingaero wrote: »Oh how I'm going to enjoy making a FOS complaint on her behalf.:T
If I were you I wouldn't waste my time. The FONZ will reject your complaint in favour of Egg...it states in the terms and conditions, signed for at the beginning of the agreement, that they may cancel your account at any time without reason provided they give you 30 days notice.0
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