Vanquis. Two accounts and screwed over?

SkintSkippy

Hi folks. Yep another thread 'complaining' about Vanquis. Bankrupt Nov 2005 discharged Jul 2006. So credit score still crap. I took out a vanquis card Oct 2007 CL £250 API @ 47.89% and annual cash/cheque (lol) @ 45.26%.

I did this in order to improve my credit rating and eventually through careful/clever useage have a high enough limit to tide me over in an emergency. My CL was upped in Jun 2008 to £750.

January this year I was accepted for (hurrah) another vanquis card CL £250, API @ 34.08%, annual cash/cheque @ 41.2%. Took out this one to get the higher rate off my back, slow transfer/repayment to reduce interest yada yada....

It gets REALLY fun now. When I notified them that I had moved house I was suddenly informed that I should never have had two cards, loads of hassle later over them transfering the balance from one to the other... But cocking it up and transferring it TWICE so I had lots of charges to pay (cancelled out now after hours of phone calls and not backing down) and a new CL of £1000 on one card. BUT newer card closed and balance transfered to the older, higher api card.

The bit I need advice on is this... Did they have the legal right to close down my newer account, with the lesser API? And do I have the legal position to get them to either reduce the API on this account or re-open the newer and up the limit and transfer balance back to it? I don't care how they do it I just want a CC with a smaller amount of interest to pay back.

I could understand if I had defrauded them in any way but none of this is my fault! Why should they make more money out of me than they already are?

Can anyone tell me what I can legally do here? Please??

cifpower

You should never have been issued the second card with the lower APR. So they are legally entitled to close this and leave you with the higher APR (original) card.

You'll just have to suck it up.

blue35_2

some of us could'nt get one never mind two!

CLAPTON

aron wrote: »

Are you honestly trying to tell us you didn't know it is an offence to make multiple applications for credit cards from the same company? Did you tell them you already had an active credit card account with them?

You honestly think that making multiple applications for credit cards with the same company is not defrauding them in some way? You should be grateful they didn't report you for money laundering.

Ignorance is not an excuse in the eyes of the law. If you didn't know about something then you should have found out quite frankly.

bizarre..................

SkintSkippy

aron wrote: »

You honestly think that making multiple applications for credit cards with the same company is not defrauding them in some way? You should be grateful they didn't report you for money laundering.

How can it be defrauding them? I didn't lie. On the online form I filled in it asked me what cards I held and their balances... Into this section I enterered the details of my only other credit card which was issued by them. How is it NOW my fault that their system did not pick this up?

And how do you find out something if you don't know you are supposed to? Sure, in the eyes of the law ignorance may not be an excuse. But again if the online form did not register this how was I supposed to know? I paid my monthly dues each month on both cards on time and in good faith. They were therefore making twice the money from me.

Thank you for your input and for taking the time to reply to my post.

To cifpower many thanks for your response. I will 'suck it up.' And as all knowledge is useful, I will not make the same 'mistake' again.

SkintSkippy

blue35 wrote: »

some of us could'nt get one never mind two!

Beleive me I am more than grateful for the opportunity to build back my credit rating! However much they are gouging me in the process. I know I don't NEED a credit card per se but the knowledge that it is there in an emergency is comforting. Or it will be once I have repaid my balance.

thank you for your reply. All the best.

sgt.tibbs1977

I have not heard of it being illegal to apply for two credit cards with the same company, after all if they are offering multiple credit deals why can you not apply for a different one once you have been a customer for a period of time. As far as I am aware this is not illegal and a perfectly acceptable way of rebuilding your credit rating. I stand corrected if I am wrong though. Of course not telling the truth on the application form would be considered fraud.
In respect of can they close down you account, yes they can, it is in the small print of your contract and is even in the Banking Code.
However, it does sound as though there has been an admin error on their part somewhere down the line so would recomend you write a formal letter of complaint. If they do not respond satisfactoraly you can refer the matter on to the Financial Ombudsman Service. See the FOS web page for further instruction.
Although I have not seen it personally and they should not be doing it I have heard of a few unscrupusal lenders closing down accounts altogether when valid complaints have been lodged. If there is a balance on the card though, this would be pretty difficult for them to do.
In respect of rebuilding your credit rating you may want to consider a pay card also, they do cost a small admin fee but is useful in getting the credit rating up.
http://www.jbprepaidcard.co.uk/

fozmcfc

I had a visa and mastercard both from Natwest after meeting the accounts manager and him telling me, I would defiantelty be accpeted for both of them.

They then made them both mastercard platinums about a year on, without me requesting it. So I don't see why you can't have 2 cards from the same issuer.

cifpower

Some issuers do allow you to have more than one card - such as MBNA and RBS - but some do not allow this - like Vanquis

never-in-doubt

aron wrote: »

Are you honestly trying to tell us you didn't know it is an offence to make multiple applications for credit cards from the same company? Did you tell them you already had an active credit card account with them?

It is not an offence at all - please be so good as to quote the crime and proof linking to it......

It is frowned upon, but not illegal. I made over 50 applications to Halifax in a month (got bored after that). Did I break any laws? Nope, I wasn't trying to defraud anyone, con anyone or lie to anyone - I wanted to annoy them - quite simply (and it worked)!

MBNA and others let you have several cards.

aron wrote: »

You honestly think that making multiple applications for credit cards with the same company is not defrauding them in some way? You should be grateful they didn't report you for money laundering.

LOL, I will guarantee to you that it is not illegal and certainly not fraud! AML wouldn't be relevant either...... Maybe knowledge before posting would be the best advice!

aron wrote: »

Ignorance is not an excuse in the eyes of the law. If you didn't know about something then you should have found out quite frankly.

hahahaha - how ironic. ditto. practice what you preach!

Says it all when you have had to copy my signature! --|

byebyedebt

aron wrote: »

Are you honestly trying to tell us you didn't know it is an offence to make multiple applications for credit cards from the same company? Did you tell them you already had an active credit card account with them?

You honestly think that making multiple applications for credit cards with the same company is not defrauding them in some way? You should be grateful they didn't report you for money laundering.

Ignorance is not an excuse in the eyes of the law. If you didn't know about something then you should have found out quite frankly.

Its not illegal to have several cards. MBNA allow you to have up to four, and they can even be the same card. Ie 4 x Virgin Money, or 4 x Platinum etc. Whats more they can all have different rates and limits and it is even possible to swop your limits around.