egg money scraps 4% interest from april 25th

jamiensam

"Cash advance fees
From 15 May 2009 cash advance fees will apply. "

Does this mean Egg Money will charge for balance transfers or just cash machine withdrawals of both?

Shame though, was enjoying 4% interest!

CopperPlate_2

From the T&C's it will only charge this if you withdraw it from an ATM. Balance transfers from the card will not incur a fee.

whiplashsal

It say here that it will charge 3% or £3 to make a cash withdrawal from a cash machine!!! BEWARE!!! That's a lot of money when you're trying to budget!!!

student100

I'm one of the many people that never have a positive balance on Egg Money, so on the whole I think these changes are for the better. Particularly like the idea of event ticket cover - will be good to see the full conditions of this! And quite impressed they're not scrapping or cutting the cashback, few cards pay 1% these days.

I guess they will be re-launching this to the public in May.

Wonder if now they're not expecting people to have a positive balance they will be more generous with credit limits (for those with suitable credit records)?

Paul_Herring

My replies are directed at the typical user of Egg, i.e., not the people who typically frequent this site, or this thread....

magicrichard5 wrote: »

Nevertheless, I thought their new insurance options looked really quite good. I'm not up to speed with the rest of the market though - are these fairly standard across the industry these days?

For anyone who hasn't seen it, here's the list in the email..
[FONT=Arial, Helvetica, sans-serif]Price promise – buy an item using your Egg Money card anywhere in the world and if you find it cheaper within 30 days, we'll refund the difference.

Who's going to bother?

Extended warranty – use your card to buy any electrical item and get 12 months' additional warranty after the manufacturer's warranty expires.

Most things that don't fail in the first 12 months, will, if allowed, go on for years. Case in point: I had 2 Dell laptops. One's going strong after 3 years, the other failed in 2 months.

Purchase protection – buy items with your Egg Money card anywhere in the world and you're covered against theft, loss or damage for 90 days after purchase.

You don't have household/holiday insurance??!?

Event cover – book event tickets using your Egg Money card and you're covered if you're unable to attend.

And if you buy off a vendor that turns out to be a ticket tout? No mention.

Price promise looks good to me?
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Looks like spin to me. Their 'added value' looks, on closer inspection, to be anything but. Look forward to them charging for such cover sometime soon.

Paul_Herring

CopperPlate wrote: »

I wonder if this is going to be re-launched to the general public again after the 15 May?

<wavey lines>
Hi!! I'm a credit card that used to reward people who preloaded me. As such I had low limits.

Due to the financial crash I've had to drop the in-credit interest rates.

But, no matter, people can still spend on our card, on their old credit limits of <£500.

What do you mean that's not enough for a month's spending.....
</ lines>

From someone who endured a 2 hour telephone interview to explain that, while the card would be cleared every month, despite 2 people using it, their policy was crap. 3 years ago. MSE link available on request to those who can't find it.

thor

Well that is the last straw. 1% cashback is likely not enough to keep me using them considering they fail any of my transactions over 200 quid. It is extremely embrassing standing at the front of a packed store while the cashier has to call EGG to get confirmation and then gets put on hold for over half an hour.
4% is high but nowhere near the rates they are charging customers borrowing off them. I reckon they are going to have a cashflow problem with people pulling out their savings. Who is going to save with them or citibank at their paltry rates?

Geedoubleu_2

I think the new rules are very sensible and am happy with them.

The Egg Money card is clearly aimed at people using it for everyday spending and they are keeping the 1% cashback and adding value with some insurances. They haven't released the T&C's for this yet, but it is a pretty good set of insurances.

So this card is aimed it people who meet the following criteria, if you don't meet it, stop using it, its simple.

- Use it for everyday spending
- Pay it off in full by Direct Debit every month

Like most credit cards do not use it to borrow money or make cash advances.

As for comments on insurance, my view is this....
Quote:
Extended warranty – use your card to buy any electrical item and get 12 months' additional warranty after the manufacturer's warranty expires.
Quote: Most things that don't fail in the first 12 months, will, if allowed, go on for years. Case in point: I had 2 Dell laptops. One's going strong after 3 years, the other failed in 2 months.

Not always true, I have had items fail between 1 to 2 years, but if its like Nationwides offer, which they have withdrawn, it will cover specified electrical items over £50, handy to have an extra years warranty for nothing if your item is covered.

Quote:
Purchase protection – buy items with your Egg Money card anywhere in the world and you're covered against theft, loss or damage for 90 days after purchase.
Quote: You don't have household/holiday insurance??!?

True and I bet the T&C's state it will only provide cover if no other cover. Using Household insurance puts up premiums, so whilst limited is still a useful extra.

Quote:
Event cover – book event tickets using your Egg Money card and you're covered if you're unable to attend.
Quote: And if you buy off a vendor that turns out to be a ticket tout? No mention.

Wouldn't you claim that back from Egg under the consumer protection act or whatever they call it? Sounds like cool insurance to me, just wander what the T&C's are for "not being able to attend".
Quote:
Price promise looks good to me?
Quote: Looks like spin to me. Their 'added value' looks, on closer inspection, to be anything but. Look forward to them charging for such cover sometime soon.

Seems like a decent feature to me, nothing worse than buying something just before a price reduction.

All in all seems like a decent set of insurance, but that could change of the T&C's are too restrictive.

Geedoubleu_2

whiplashsal wrote: »

It say here that it will charge 3% or £3 to make a cash withdrawal from a cash machine!!! BEWARE!!! That's a lot of money when you're trying to budget!!!

Not quite, they say they will charge you for cash advances, so only when you borrow money. They will not apply when your account is in credit.

Geedoubleu_2

Geedoubleu wrote: »

Not quite, they say they will charge you for cash advances, so only when you borrow money. They will not apply when your account is in credit.

Sorry got it wrong, just checked they WILL CHARGE YOU FOR ALL CASH MACHINE WITHDRAWELS.

No BT fees when in a positive balance though.

Here is a quote.....

Dealing with your positive balance
Whatever the amount, you can access it easily.

• Withdraw it
  You can use our cash withdrawal facility - subject to a daily limit of £500. After 15 May 2009, all withdrawals will incur a fee of 3%, minimum £3.
• Use it
  One of the easiest ways is to spend the positive balance by simply using your card. That way you’ll also benefit from the 1% cash back and after 15 May 2009, the reassurance provided by the new range of insurances included as standard.
• Transfer it
  • If you've got a positive balance of £100 or more you can transfer it to your current account. You can do this by logging in to 'your accounts' and selecting your Egg Money account. From there, select 'Egg Money admin' followed by 'Transfer a balance' from the list of options. Then select 'Current account/overdraft' and provide the bank account details into which you wish to transfer the balance. No balance transfer fees will be incurred.
  • Positive balances of less than £100 can't be transferred online. To arrange a transfer please send us a secure message which includes the sort code and account number of where you want the funds sending along with details of the amount you want to transfer.