M&S Money Rip Off

NickX

kenHS wrote: »

I'm not trying to get one over on any card co!

OK, I only put it like that because it is my opinion that the Card Providers tend to word their Terms and Conditions in such a way as to "get one over" on the customer, and as you have found to your detriment, by not paying the balance off in full you have been charged more interest than you expected.

Personally I quite enjoy "getting one over" the Card Providers and do that by manipulating promotional offers to borrow their money cheaply and invest it in such a way as to make a profit (aka stoozing).

With regard to the Terms and Conditions of First Direct and M&S they are saying the same thing, although worded differently. You would have found the same thing would have happened if you had not paid back First Direct in full.

usignuolo

It's pretty common practice.

I have a Barclaycard and they have a policy of bringing forward (ie shortening your interest period) if you pay regularly because they need you to incur interest payments and basically, they want to catch you out.

If as happened to me last month, you overlook the latest move forward of your payment date, and pay 1 day late, you are charged interest the following month for the entire month you "missed a payment" even if you only missed it by one day.

I wrung out of Customer Services the information that I have a payment window of 9th-18th each month, so I need to pay by 8th regardlress of what it says on the card, or watch the card payment date like a hawk (hard if you travel) so as to optimise the date I pay.

Basically they are there to make as much money out of you as possible and by whatever legitimate means they can make it. M & S is no different.

kenHS_2

I spent 30 mins on the phone with fd today and they categorically say that they will not charge you in the current month for new purchases. If you do not pay off in full at the end of the month then of course they will.

Drea2904

After working for Halifax for many years (bbooo!) before the redundancies I know that most cards do charge you interest on any purchases until paid off in full, even if you pay £850.00 off a £900.00 balance you will still be charged interest on £900. Thats they way it was then as we were an agency and had lots of local customers and we would actually tell them if they could to pay off the whole balance.

kenHS_2

Yes Drea2904

But I'm not talking about that 900 I'm talking about the purchases after you paid off the 850. so you carry forwad just £50 and then buy something else. You pay interest on the new item immediately because you carried over the £50.

td_007

kenHS wrote: »

Yes Drea2904

But I'm not talking about that 900 I'm talking about the purchases after you paid off the 850. so you carry forwad just £50 and then buy something else. You pay interest on the new item immediately because you carried over the £50.

When you read the t&c (fd's for eg) it says, "Interest will be charged until the balance outstanding has been repaid in full and ...."

Note that it does not state for e.g. "interest will be charged on the outstanding balance..." In which case you would be right to argue that interest should be charged on the remaining £50 as in your previous post.

Now for the credit card company, a balance of £1 or £50 is "outstanding balance" if not cleared by payment due date. With this definition, all purchases irrespective of you having made a part payment become liable for payment. First Direct will apply the same interpretation (irrespective of what you have been told).

As always, it is a play of words.....

goslojo

Hi all, don't know if I am the only one experiencing this but I have recently recieved a letter from M&S stating that they are putting up the interest rate on my card. I have never defaulted I always pay more than the minimum amount and I have checked my credit rating and report and I am rated excellent . My gut feeling is that I am being penalised for others inability to pay or this M&S's means of ensuring a good return from those of us who do pay. Or am I the only one?????:mad::mad::mad::mad::mad:

MissK_4

I too have had the letter from M&S stating they are putting up in the interest rate on my card. I spoke to the call centre today who basically said there was nothing I could do or nobody I could speak to about this. Very frustrated as I'm not in a position to close the account. Any advice on how to tackle this?

sukey13

goslojo wrote: »

Hi all, don't know if I am the only one experiencing this but I have recently recieved a letter from M&S stating that they are putting up the interest rate on my card. I have never defaulted I always pay more than the minimum amount and I have checked my credit rating and report and I am rated excellent . My gut feeling is that I am being penalised for others inability to pay or this M&S's means of ensuring a good return from those of us who do pay. Or am I the only one?????:mad::mad::mad::mad::mad:

We had the same letter but it said if you phone the number on the letter you can disagree and the interest will stay the same while you pay it off then the account will automatically close - you cannot use the card anymore though.

jonesMUFCforever

To all the posters who are complaining about the rise in rates on their outstanding balances - pay it off - that will show them that they can't rip you off!
You are only using the cards for short term borrowing right - nothing long term or hardcore there or that just might be the reason your rate is going higher - they think you might be struggling if asked to pay it off.

If you can't pay it off consider balance transfer or even a loan to pay it off - both will / should be cheaper than 34%