EGG Card - Anniversary 0% interest free - BE CAREFUL!

SlingShot

If your anniversary at Egg is coming up and you are thinking of using the interest free balance transfer for 5 months thing, be careful.

They now charge a 2% transfer fee (no maximum) and, worst of all, they put the fee on your account as a purchase. So, yes, you then have to pay interest on that amount and won't be able to clear it as they take any payments off the interest free balance first.

I'm very angry about this as while they stated the balance transfer fee, they didn't make it clear that the fee would go onto the account as a purchase.

I feel this is pretty underhanded and just a way to catch people out and make some money.

I also fell into the trap of firstly trying to clear my balance (of £200) before doing the balance transfer. Well, I made a payment and then intiated the balance transfer. Unfortunately, the balance transfer happened first and so the £200 was just taken off the interest free balance - leaving me with the interest on the original amount still.

I am personally going to stop using my Egg card once this balance is transferred away. I'm sick of banks messing us around like this and if they can't be open in their communication they aren't worth using.

Anyone else fallen foul like this?

Money-Saving-Monk

Another pointer for anyone using Egg is that I don't believe there is a maximum on the balance transfer fee. Im sure this came into play in May sneakily. You now have to pay 2.5% transfer fee and there is no maximum of £50 anymore.

I personally don't see the Egg credit card being competitive anymore? Anyone else think the same?

They can keep their Guinea pigs

I think everyone should be careful with Egg and there are certainly other more friendly cards on the market at present!

charlie12

Money-Saving-Monk wrote:

Another pointer for anyone using Egg is that I don't believe there is a maximum on the balance transfer fee. Im sure this came into play in May sneakily. You now have to pay 2.5% transfer fee and there is no maximum of £50 anymore.

I personally don't see the Egg credit card being competitive anymore? Anyone else think the same?

Discussion here:
http://forums.moneysavingexpert.com/showthread.html?t=174270

humfer

Nearly fell for this when I phoned up to cancel my card a couple of months ago, but thankfully realised in time. There crafty so and so's...

SlingShot

humfer wrote:

Nearly fell for this when I phoned up to cancel my card a couple of months ago, but thankfully realised in time. There crafty so and so's...

They sure are, and I feel serious duped. . Have been communicating with them via secure e-mail and getting nowhere. It took about 4 e-mails for them to give me a response that made sense. The latest is pure class - basically making out that I should have read their terms and conditions in detail.. Whereas I argue that the fact that the balance transfer fee would be treated as a purchase should have been clearly stated on the anniversary offer e-mail.
----
Dear James

I'm sorry you are unhappy with the interest charges. Details of how interest is calculated and applied can be found on our website in the link below in sections 4 and 5.

new.egg.com/visitor/0,,3_11087--View_1068,00.html

For further information on your Egg Card terms and conditions including balance transfer fee's and interest rates please copy and paste the following link in to your web browser.

new.egg.com/visitor/0,,3_11087--View_1068,00.html

Please feel free to contact me again if there's anything else I'm able to help with.

Thanks for your message, I trust this helps.)
----

Hmmm, no it doesnt actually..

Suzz_2

I agree that in adding this uncapped fee, Egg are no longer competitive.

And I wasn't informed of this charge being introduced.

May be time to scrap the green card.

FriendofDorothy

I've just received my Capital one card and it states that the charge for balance transfers will be added on the fourth month after taking out the card, so does this mean the same as the egg card then sorry if it's a daft question

FriendofDorothy

Anyone know ?

YorkshireBoy

FriendofDorothy wrote:

Anyone know ?

Know what?

They are two distinctly different offers. The Egg card has an initial 2.5% BT fee for a 6 month 0% duration, and another 2.5% BT fee for it's 5 month 0% anniversary offer (6 months after the introductory 0% period ends).

The Capital One card has one BT fee (again uncapped), but it has 2 benefits over Egg...

1. The BT fee is delayed until month 4, and you don't pay interest on it due to the order of payments (ie your fourth 3% minimum payment is split into 2% for the BT fee and 1% towards the debt.

2. The Capital One offer is for one period of (around) 15 months duration.

Does that answer your question?

Saucepot

I used to have an egg card. When I phoned them to cancel the card (I'd tarted a debt at the end of the 0%), they offered to extend the 0% offer and offered to wave the BT fee for further transfers. To late for me as my debt was on another 0% card by then but I thought that If you look like a departing customer, you might get the BT fee waved. Might be worth a try.

JohalaReewi

Calling a BT fee a purchase is very underhand. This should really be an admin fee and have a higher payback priority than the BT. Is it just Egg doing this or have other cards caught on?