Capital One-rate hike

turbo-trucker

Hi, has anyone recieved a letter from Capital One notifying them of another rate increase? I had a letter this morning, and they are hiking my rate to a whopping 39.94%. :eek: I reckon this is blatent daylight robbery, and they are profiteering from customers who don't clear the full amount each month. A serious case of nose in trough :mad: I did ring them to complain, but as usual they were script reading and bleating on about their difficult decision to do this and economic downturn.

cifpower

You have the right to close the account and be charged your current interest rate.

bearacus

just received this letter! they only raised it to 30% in september! and now 39.94%

looking for advice really

the balance is clear and when i do spend i clear it every month! me and hubby have 3 credit cards capital one limit £800, halifax limit £500, halifax limit £500. After january the 2 halifax will be clear also.
Our credit rating is not great so should i keep the capital one open and spend little and often and pay it off in full or close the account.
(I just worry that if something happened we would struggle to get credit elsewhere if i close the account)

any advice welcome as im new to being good with money ( the last 7 months)
bearacus xx

cifpower

As you clear the balance every month the interest rate should not be a problem as you won't be charged any. I would keep it open.

INT1

I had the same letter last year, although not as high as 30%!
I settle in full every month and earned £100 cashback payment to me this month.

I think they rely on me forgetting to make a full payment or not beng able to, very crafty IMO :mad:

I had the last laugh of not paying interest and getting £100 back off them, i'm just waiting to see how long it will be before they do away with the cashback @ 1%.

When that happens I will close the account but it is a good card as it is a world Mastercard.