MBNA rate increase

curlyfairy

Hi all,just after some advice please if poss.
Me and SWMBO have an MBNA CC with a £15,400 limit.We have used this for years and now its obviously getting near the limit.
Got a statement today saying they recieved the min payment for sept at £280.52
The minimum payment for oct is now £379.10,i phoned and asked why the payment has gone up so much,they replied with your rate has gone from 23.9% to 34.9%.
I need to ring back on monday to see what i can do.I know its our fault and we have used the card,just wondered if anyone has any advice please.

Thanks.

Ben.

Witsend_2

I would look for a life of the balance transfer I moved some of our debt recently to a MBNA card and I am charged 4.9% until its paid off. We had to pay a transfer fee of 2% and we have cut the cards up we also have payments on SO as a missed payment invalidates the contract so now the £250+ per month is paying off the debt and not just interest.
Have a good look on here as if there are any offers Martin will display them.
Good Luck I hope you can sort something on Monday tell them about my deal you never know until you ask if you may get the same.

milliemonster

MBNA are just so sneaky aren't they???, they haul you in with low introductory offers and then very quickly start increasing your credit limit (and then your interest rate).

I should imagine unless you can BT this debt, there isn't much you can do with MBNA, the min payment will be set at that because of the interest rate otherwise you wouldn't be covering the interest charges each month you make a payment.

I would try and get this paid down asap, I doubt they will reduce your interest rate

DestroyingAngel_2

Curlyfairy, you could have a word with MBNA's Loyalty department, they're the guys who control the APRs and may be able to put you back down to the previous rate of 23.9% APR. Just be sure to ask politely.

Witsend_2

Hi curlyfairy I have been thinking of you and was hoping that you would post any news. How did you get on? Were you able to change anything? I hope so let us know

curlyfairy

Hi guys,yes i spoke to them yesterday and explained the situation we are in,after about 5 mins the guy came back and agreed to reduce the rate back to 23.9%.He said we will have to pay this months higher rate but as of the 2nd of November we will be back to the lower rate and he will put a stop on the CC,which we dont now use anyway.
Thanks to everyone for thier advice.

Ben.

Scotty501_2

I too had the same issue. I called their loyalty department who after a few mins said that they would reduce the rate back to it previous amount. It had lept up by 6%. 0800 028 9170 - direct through to a human.

JJ49

This morning I received notice from Virgin that next month they were raising my interest rate to 34.9%p.a.! In March 2008 my rate was 15.94% p.a.. As a fully fledged, long term rate tart, I'm not going to be hurt by this until my 0% runs out in December (when I will attempt to move it) but, I am outraged nonetheless. My credit record is excellent, never missed a payment, never late. Am I being penalised for being a tart? Am I right that ombudsmen don't require justification for interest rates? Are other banks likely to follow MBNA's lead? Is this just the bank's latest route to squeezing the consumer to make up for their losses? Trying hard not to get mad but really want to get even!

_Andy_

Give them a call and they may reduce it. If you search the CC forums this has been discussed at length.

uptomyeyes1984

I got a letter to and mines gone up to 24.9% but wont happen until the day following my Oct 09 statement.

luckly i wont be affected until mid next year as on 0% had this card years, havent had a letter from MBNA yet but also 0% with them too.

Does everyone get a different interest rate?