Dormancy Fees

rcereda

To Martin Lewis

Please include this in your weekly mail because alot of people will miss this and those cheeky banks will be rolling in it!

Rob

kelloggs36

I got my letter today - closing the account. Personally I think it is a cheek to introduce a charge for not using a card. If I don't spend money, I don't owe anybody anything! We have a card as a back up but will now get rid of it. They haven't loaned us any money so we don't and shouldn't have to pay them for it.

Manty

CannyJock wrote: »

<snip>Word of warning on the A&L 0% fee promotion, some people are only being awarded £250 credit limit - i.e. the absolute minimum to meet the "guaranteed" part of the advert. Hopefully you'll get a bit more - let us know how you get on.

Just to update this, I got the card this morning with a £6500 limit - which I'm somewhat baffled about as my credit rating isn't the best. I also included a BT from another card on the application form.

Any

There was an article about this in saturdays The Times "Money" part.

The companies were explaining themselves. Basically what they said was:

-The debt available to people who are not using it stops them issuing it to people who would use it and therefore they would make money on them

-After they had to slash the charges thanks to the Charges Court Case this is great way of making cash

I think that especially because of the first point that is quite fair enough. And way to avoid the fee is to spend a little on the card occassionaly and just pay it off straight away.

However if they will say you have to "purchase" something otherwise it will be considered dormant, that would be a knife in the back. Why would then companies do 16mths BT transfers cards if they were going to charge you dormancy fee after the first 12?
Completely going against their own marketing..

exel1966

Why is it sooo difficult for people to use their card just once ? So what, a dormancy fee is being introduced ! Advance warning has been sent out in good time ! If people choose not to take that advice then too bad, just pay the £20 or find another card which doesn't charge.
The card company could easily just rescind your credit facility and close your account if they really wanted to. Would you prefer that ?

A transaction is classed as a payment/purchase/withdrawl. There is absolutely nothing in the T&C's to even suggest that a purchase has to made so like the Santandar cards those currently making use of a BT offer certainley have nothing to worry about.