Mis-sold Credit card

Indigo123_2

Just want to pick you clever peoples brains if I may.

I have a credit card which I took out in 2003, purely for the purpose of needing it for an imprint when renting a car for a holiday in Europe. I was on income support at the time, so I was grateful to my bank for helping me out (although strictly speaking they shouldn't have!) I asked for the minimum possible credit limit as I had no intention of using it. Can't remember the figure.

Over the years I HAVE used it, not to any great extent but now and then for 'biggy bills' with the intention of clearing it swiftly. Needless to say I am now in the situation of having £1100 on it, not a great amount I know, but am only able to make minimum payments so am not actually getting anywhere.

This week I have been contacted by several companies who say they can make claims against credit card companies due to a change in the Law. Basically I have been told that every time my limit has been raised my APR has probably increased too, without my knowledge or without any new contract being entered into. I had a rummage and discovered that my credit limit was raised only this week from £3300 to £5300!!! It states on the letter (which essentially is mass produced and looks like junk mail) that I can change it back to the lower limit by phoning them but it makes no mention of an increase in APR.

Does anyone know anything about this law change and its implications? Obviously thiese companies are not offering their services gratis, in fact they claim to get £900 plus for successful claims. Basically I'm a bit sceptical.

(I'll probably discover another million threads on here about this, so I apologise in advance!)

Cheers, Indy

Fonz_2

Are you absolutely !!!!!!!g kidding? Seriously? Let me just get this right...

You applied for a credit card and spent a load of money on it. You now fancy getting out of paying it back and seem to think it's the bank's fault you spent the money?

Get out of here! Get out! Seriously

Indigo123_2

No, I am not saying that actually. I'm simply asking if anyone else knows anything about this. Whilst I accept responsibilty for entering into the initial agreement, I will confess to being slightly annoyed that a credit card company will seemingly then breach that agreement by raising the APR they charge without clearly explaining when or why. Is it not unreasonable to query that?

lisyloo

So do you have any evidence your APR was raised? (apart from a vested interest telling you that)

Indigo123_2

Looking back over past statements it seems to have basically gone up on average at least 3 times that I can find in the last three years, but this is not showing as an APR % on my bills (in fact I can't find what that is at all!) but as monthly interest.

Eydon

Unfortunately your APR is variable. Which means they can change it (although they do have to notify you of the change).

As for the companies that are phoning you, just tell them where to go. There is nothing they can do for you that you can't do yourself. There are plenty of threads on here (in the main Credit Card section rather than the stoozing sub-section) which tell you how to go about it. This one is a very good starting place.

And before anyone has a go at me, I'm not condoning the action of going down this route - just passing on the info.

But then you might also want to have a look at this thread as well.

Indigo123_2

Thank you Eydon. I certainly won't be using any such 'service', I just wanted to find out if anyone else has had a valid claim against credit card companies in such circumstances, as it does indeed seem I have had my interest raised without notification.

(off to search these here forums.......!)

Eydon

I've updated my post above with a couple of good links.

Indigo123_2

The second link is very enlightening (haven't read the first yet)

Thank you very much indeed Eydon, you have showed me exactly what I came here to ask.