Virgin money takes advantage of mistake

Anna123456

Hi,

I've had a virgin credit card for 8 years. For some reason in June I didn't make the payment (first time ever!). All my fault, just slipped my mind. It was only when I recently logged on that I saw the late payment fee and realised my mistake. I am on an interest free deal, however I also noticed a great deal of interest added to my account. When I called Virgin said as I've missed a payment my interest free deal was stopped.

I must admit I feel pretty sore about this. Why couldn't they have told me that my interest free deal would stop? They are quick enough to send me texts titled 'let's go shopping'!

I feel like they are just rubbing their hands with glee at my error. I do hear of incidents when people call and negotiate a deal but Virgin don't seem to care about customer relations. Has anyone had a similar experience and managed to come to a fair arrangement?

Thanks

KTF

They did tell you. It was in the T&C that came with the card when you signed up and there have been several threads about it on here.

This is why you should always set up a direct debit for the min amount to avoid situations like this.

normanmark

I'm sure if its your first offense they could refund the late fee. The interest will stick however, if the bill isn't paid off in full and on time then it accrues on the account.

YorkshireBoy

Anna123456 wrote: »

Why couldn't they have told me that my interest free deal would stop?

See the last paragraph in condition 2c...

https://wwwa.applyonlinenow.com/UKCCapp/Ctl/link?eid=EF3C6FB7

...Virgin don't seem to care about customer relations.

They cared enough to give you an interest free promotion.

Has anyone had a similar experience and managed to come to a fair arrangement?

Best chance of success is to call customer loyalty on 0800 783 1116. Be apologetic, not confrontational, and offer to set up a DD to stop it happening again. After all, it's only £5-25 per month during an interest free period.

Anna123456

Thanks for that. I'll give them another call tom. I know it is my fault and I should have set up a DD. I just wish I had known the interest free was stopped as I would have paid it off. Also I guess I'm just thinking that they could have been a bit lighter considering it's a first offence. At the same time I know I should keep on top of my finances. Hence me joining this site!

normanmark

The only time they'll refund interest if its their error. Interest is the fundamental element of credit. Just ensure you get everything in on time in future, DD is the easiest way!

NickX

normanmark wrote: »

The only time they'll refund interest if its their error.

Not necessarily. There are reports on here of people having the late payment fee refunded AND being put back on 0% when it is a "first offence".

In the days before the Credit Crunch I would have said this would be the norm for "first offences".

YorkshireBoy

normanmark wrote: »

The only time they'll refund interest if its their error. Interest is the fundamental element of credit.

Yes, there are 4 things for Anna to discuss with MBNA...

1. Interest already paid (may be refunded, but likely not)
2. Interest to be paid (possible to reinstate the 0% from here on in)
3. The £12 fee (Anna did pay late, so slim chance of refund)
4. Missed payment marker on credit file (unlikely to be removed...if indeed it's been reported?)

I would suggest items 2 & 4 should be the highest priority. Anything else achieved would be a bonus.

Good luck.

normanmark

NickX wrote: »

Not necessarily. There are reports on here of people having the late payment fee refunded AND being put back on 0% when it is a "first offence".

In the days before the Credit Crunch I would have said this would be the norm for "first offences".

I wasnt referring to the 0% interest offer, i was referring to the actual interest calculated onto the account. Put back on the offer probably, but i wouldnt expect interest to be refunded.

NickX

normanmark wrote: »

I wasnt referring to the 0% interest offer, i was referring to the actual interest calculated onto the account. Put back on the offer probably, but i wouldnt expect interest to be refunded.

It is not unheard of for the interest to be refunded.

Anna123456

Thanks for all your advice. I called this morning but as my rate was due to end in September there was nothing they could do. I've cleared the balance and learnt a lesson!

Thanks