Egg card interest 26.9%!!!

phildamb

Hello all,

I got an email from Egg this morning stating that my new interest rate is going to be 26.9% which is 10% higher than a new account. Is their a way to complain about the level of interest you are being charged as I feel this is highly extortionate given that a new account with no history with egg gets 10% less.

JA1000

Do you have an amount outstanding?

Consider yourself lucky not to have an MBNA at 34% and I know there are cards higher.

phildamb

JA1000 wrote: »

Do you have an amount outstanding?

Consider yourself lucky not to have an MBNA at 34% and I know there are cards higher.

At the moment yes but I cant afford to change as I dont want any credit checks on my file since we are going to get a mortgage soon.

CannyJock

phildamb wrote: »

At the moment yes but I cant afford to change as I dont want any credit checks on my file since we are going to get a mortgage soon.

You know that you can reject any recent increase and they'll close your account? You won't be able to use the card again, but you won't have to pay the increased APR either. You'll still have to make at least the minimum payments to the card until you've repaid it in full of course

Tixy

Phil

have a read of this article http://www.moneysavingexpert.com/reclaim/credit-card-interest-rate-increases it might help

miss_missy

CannyJock wrote: »

You know that you can reject any recent increase and they'll close your account? You won't be able to use the card again, but you won't have to pay the increased APR either. You'll still have to make at least the minimum payments to the card until you've repaid it in full of course

hi phil
i did what jock said above back last year when they tried to increase my apr to 26% from 19% i have now cleared the card so they get no more money from me serves them right had they not tried to increase they prob would have made fair bit from me, egg have a long history of uping aprs when you owe money to them, by the way you only get about 30 days to tell them that you reject the increase

Intransigent_2

Had the same e-mail...But from 26.9 -> 29.9%!!!

Never missed a payment / been late with *any* credit card - Took out a consolidation loan last month (with apparently a very good credit rating!), and completely paid off two out of the three cards I had, also paying nearly £6k towards egg...

Despite all this, they've elected to rate jack me... A mark of a company to avoid, I might suggest!

One good thing - I've a cheque arriving within the next fortnight, which will allow me to settle the account in full...I had intended keeping the egg card, after cancelling the other two...But have a differing view now.

(Oh, and there's the matter of the £2k of PPI they mis-sold me, which I left on the back burner, as I intended staying with them...Could work out quite expensive for egg... )

mrbigd

My rate has been 26.9% for ages, way above all my other cards, no balance and have no intention of using it unless they have a BT offer.

Wrote to them but they refused to reduce rate.

phildamb

Well after a few messages backwards and forwards and only getting template "we are sorry you feel this way" responses, Ive asked them to close the card and keep the present rate and have also told them I will be moving all my savings accounts from them so they wont get an extra penny from me. I really dont understand why they push away their regular reliable customers and invest back into the risky newer customers, especially when it means losing other products such as savings accounts.

INT1

Excellent, vote with your feet and go elsewhere.

Capital One are still yet to make any money on interest/fee's and I get 1% cashback off them.
My rate went from 15.9 I think it was to about 23/24% for full balance payer.

mufc689908

They upped mine last year to 26.9% and I have refused to pay them a penny.