MBNA Problems

mizzame

My apologies if there is already a thread relating to this - if there is, maybe someone could point me in the right direction.

I have had the same MBNA credit card for over 10 years. My circumstances are continually changing.

My MBNA card was due to expire at the end of October. By mid October when no new card had arrived I rang them and was told one would be put in the post. On Nov 1st I called again and was given an apology and told my card would be reordered and that there must have been an error...

Today, still no card, I called again. This time I'm told I have been declined because of a bad credit rating dating back to August. I asked that surely common courtesy would have said they should have written to me to tell me?

As the conversation progressed I highlighted that I would therefore be paying 14.9% interest on a credit card that I did not have the benefit of... It was at this point it was pointed out to me that my interest was set at 34.9%.

Apparently my rate of 14.9% (which I was told was on my card for life after securing the rate last year) was changed to 34.9% in March. I have no record of this.

Can anyone offer advice?

Obviously I'm not in a position to bag credit anywhere else but can they just up my interest rate by 20% without telling me? Can I make them back date the extra interest? Can they freeze the interest? If so what are the implications?

Are credit cards governed the same as banks? Who do I complain to?

All help and guidance much appreciated!

pink_fairy_5

Hi mizzame, dont think you can complain. they decide wether to continue lending you money or not, they dont have to. they have annoyed me too, check out my issues on the sub prime board. I guess they are getting rid of anybody high risk:confused: sorry i cant help more but maybe someone on the sub prime board will be able to help, or someone else can help you here?

Obukit

Check your Terms and Conditions to see what notice they are meant to give you if they intend to vary your interest. If you feel they've broken these terms, write a complaint. If it's not resolved to your satisfaction within 8 weeks, write to the Financial Ombudsmen and get them to consider your case.

Despite MBNAs many faults, they can't help you unless you let them know something is wrong - if they've made a mistake it's in their interest to resolve it properly internally as it costs them £400 if it gets taken to the Ombudsman.

mizzame

Thank pink_fairy - its not the withdrawel of the card that is annoying me most more their lack of notification and the 'secret' hike in interest from 14.9% to 34.9%.

Obukit - As for notice - I wasnt given any notice of the interest hike - have checked back ALL my correspondence from them.

My plan today is to call their 'Customer Loyalty' (hmmm) team and have it out with them, I want the rate I pay them back at reduced significantly and I want explanations. I'll stick to my guns because I know I'm right. I want them to reduce the amount I pay back. I want to see what they will offer me.

Then a family member (who hates MBNA for similar reasons) has offered to pay the card off and allow me to pay them back without interest... A very privaliged position to be in I guess.

I will write to the ombudsman as I honestly think my treatment is highly unfair and I doubt I'm alone here. They talked to me about 'responsible lending' hence the withdrawel of my card but how can responsible lending include a hike from 14.9% to 34.9% in interest repaymnets? Am I missing something here?

I'll keep you posted and again all advice greatly appreciated.

DipStick

mizzame wrote: »

Then a family member (who hates MBNA for similar reasons) has offered to pay the card off and allow me to pay them back without interest... A very privaliged position to be in I guess.

You are very lucky indeed. I hope you will join the many on this site who have seen the light and are determined now to become debt free. It is hard work but think of all the interest you will not have to pay in the future.