Egg

davster

I was one of the Egg customers who had their accounts frozen despite a spotless payment history. I have about £11,000 on the credit card at just under 20% p.a. and an Egg Loan - my credit file is completely clean.

My monthly payments have just increased from £237 to over £300; a result of Egg increasing the minimum repayments I believe as the interest rate has unchanged.

I have other balances elsewhere with other credit cards and although I could potentially repay the Egg balances with other cards I am unwilling to do so as I will never be able to take the money back out in case I need the money in an emergency.

I noticed that the combined balance of my egg credit card and loan is less than £25,000 and therefore wondered why my entire balance could not be moved onto The Egg loan account and I sent them the following letter

' some time ago, Egg decided to prevent me from making any transactions on my Egg card, despite my many years of prompt and regular payments. As a result, I am now paying almost 20% on the remaining balance (at a time when the base rate is 2%) and have been unable to take advantage of any of Egg's offers or incentives which would reduce the interest rate.


I am writing to request that the credit card balance is transferred onto my loan; this should be possible as the combined balance is less than £25,000 and this poses no additional risk to your company as I am not asking for the balance to be increased, just for part of the balance to be moved onto a different product and from an affordability point of view I am sure that the monthly payments will remain the same (even if the loan term needs to be extended the overall balance will be repaid much earlier)

As a responsible provider I am sure that you will see the benefit of this change, unless of course the decision to freeze my credit account was made to increase your profits rather than protect myself the consumer.

Please confirm whether you would consider this proposal and provide me with a detailed explanation in the event of this request being refused'

Egg have just emailed me back to say that this will not be possible due to 'company policy' - not exactly the detailed explanation I was hoping for!

Do I give up on this or does anybody out there think this is worth pursuing?

jen_a_c

Could you take out a loan with your bank, as you say you have a flawless credit history? Bringing the two together at a lower rate would save you hundreds if not thousands in interest and you are already proving that you can afford the payments at the higher amount, so the bank have proof that the loan would be servicable for you?