'New risk-based repricing principles' Question?

DebtMagnet

Lot's of people appear to be in the same boat right now with huge hikes in APR's affecting lots of people on here, and I keep reading the same advice that the CC company should have given the option to freeze the APR, close the card and pay off the debt at the existing rate.

I've had a big hike on 2 cards now and only 1 of them have offered this option, so I decided to start looking to see where this advice comes from 'officially' and found that there is not a great deal of info out there. The main info I found is on the APACS site which also mentions the site in the link below. Anyway the main point I was interested in on the fact sheet ( http://www.choosingandusing.com/resources/documents/CreditCardFactsheet.pdf )
is:

When do these changes come into force?
These new risk-based repricing principles will
come into effect across the industry from 1st
January 2009.

Now my question that I have been unable to find the answer to is this: does the 1st Jan 09 date relate to the day the APR changes or the date of notification of the impending change?

One of my cards APR rate doubled on the 7th Jan 09 but I was advised this would happen on the 8th Dec 08........so I had my notice as per the T&C's but technically the rate changed after the 1st Jan 09 and I wasn't offered the option to close the card at the existing rate. But it's not clear whether these new rules apply to my case and I can't find the answer anywhere so wondered if anyone on here might know the answer?

Any help or opinions greatly appreciated

Thanks in advance,
DM

oscar52

DebtMagnet wrote: »

Lot's of people appear to be in the same boat right now with huge hikes in APR's affecting lots of people on here, and I keep reading the same advice that the CC company should have given the option to freeze the APR, close the card and pay off the debt at the existing rate.

I've had a big hike on 2 cards now and only 1 of them have offered this option, so I decided to start looking to see where this advice comes from 'officially' and found that there is not a great deal of info out there. The main info I found is on the APACS site which also mentions the site in the link below. Anyway the main point I was interested in on the fact sheet ( http://www.choosingandusing.com/resources/documents/CreditCardFactsheet.pdf )
is:

When do these changes come into force?
These new risk-based repricing principles will
come into effect across the industry from 1st
January 2009.

Now my question that I have been unable to find the answer to is this: does the 1st Jan 09 date relate to the day the APR changes or the date of notification of the impending change?

One of my cards APR rate doubled on the 7th Jan 09 but I was advised this would happen on the 8th Dec 08........so I had my notice as per the T&C's but technically the rate changed after the 1st Jan 09 and I wasn't offered the option to close the card at the existing rate. But it's not clear whether these new rules apply to my case and I can't find the answer anywhere so wondered if anyone on here might know the answer?

Any help or opinions greatly appreciated

Thanks in advance,
DM

Afraid it goes from the notification date. Any letters received before 1 Jan 09 are not subject to the new rules (however some creditors may still lower the rates as courtesy)

DebtMagnet

Many thanks for the reply oscar52, I sort of suspected that would be the case and so the crafty so and so’s have snuck in the hike just in time I guess.

Oh well I’ll just have to see if anyone will give me a BT deal anywhere and bin this card (I'll not hold my breath mind!!)

Cheers,
DM