Virgin Credit Card Credit limit reduction?

loduk

Hi there, in August 2009 I tried to use my Virgin credit card and it was refused. After looking into the matter with Virgin, they advised me that my limit had been reduced. I had no prior warning of this, and they informed me that there was no way it would be reinstated to the limit that was there originally. I voiced my concerns to no avail,. I no longer have a copy of my original terms and conditions and wonder if anybody else has had the same problem. Also the fact that I was not notified of this in writing, does it mean that they are in breach of their terms and conditions? I would be grateful if anybody has any information of use to me before I write to them, as I dont seem to be able to find a copy of their terms and conditions on the net. Many thanks.

stephane_2

loduk wrote: »

Hi there, in August 2009 I tried to use my Virgin credit card and it was refused. After looking into the matter with Virgin, they advised me that my limit had been reduced. I had no prior warning of this, and they informed me that there was no way it would be reinstated to the limit that was there originally. I voiced my concerns to no avail,. I no longer have a copy of my original terms and conditions and wonder if anybody else has had the same problem. Also the fact that I was not notified of this in writing, does it mean that they are in breach of their terms and conditions? I would be grateful if anybody has any information of use to me before I write to them, as I dont seem to be able to find a copy of their terms and conditions on the net. Many thanks.

They don't have to inform you, it's in their T&C that they can change your credit limit at any time.

YorkshireBoy

stephane wrote: »

They don't have to inform you...

They say they will...

Virgin_T&Cs wrote:

1 Key financial information

1a We will choose your credit limit and tell you what it is. We may vary it at any time and write to let you know.

I think it more likely that OP has been informed - via statement, letter, or whatever - and they simply missed it (before misplacing it like they have with their original T&Cs and any/all notices of variation received since).

loduk

YorkshireBoy wrote: »

They say they will...I think it more likely that OP has been informed - via statement, letter, or whatever - and they simply missed it (before misplacing it like they have with their original T&Cs and any/all notices of variation received since).

I wasn't informed. I phoned them the day after they changed the limit. Never received anything in writing. They told me that the reason they dont inform customers of a limit reduction, is to stop them using the card before the limit can be applied!

I just wanted to know if this was a breach of contract as I cant find my T&C's booklet.

Thanks.

Cancara

You would have been advised 'in writing' as your credit card statement will always show your credit limit. It's your responsibility to check this each month.

Under the T&C's they can vary the amount of credit they offer you and they do not need to give you prior notification of any changes.

stephane_2

loduk wrote: »

I wasn't informed. I phoned them the day after they changed the limit. Never received anything in writing. They told me that the reason they dont inform customers of a limit reduction, is to stop them using the card before the limit can be applied!

I just wanted to know if this was a breach of contract as I cant find my T&C's booklet.

Thanks.

They are NOT in breach of T&C....if they decide tomorrow to close your account then they can too. You just have to accept that maybe you are a risk for them at the moment.

izools

... Funnily enough my Mother's MBNA limit has just been reduced to just over the balance, too.

Ten years a customer never missed a payment or gone overlimit but has kept a rolling balance on the card over £1,000 for a long time...

loduk

Thankyou for your replies.

I too have never missed a payment or gone over my limit.

They did reduce my limit without warning. No written confirmation or anything.

Yes, I know the limit is clearly shown on each statement. This happened between statements, so I didn't know anything about the reduction until I tried to use the card!

Thanks for the info.

izools

loduk wrote: »

Thankyou for your replies.

I too have never missed a payment or gone over my limit.

They did reduce my limit without warning. No written confirmation or anything.

Yes, I know the limit is clearly shown on each statement. This happened between statements, so I didn't know anything about the reduction until I tried to use the card!

Thanks for the info.

Have you kept a large-ish rolling balance on the card for a while?

PNPSUKNET

it says aug 09

Debt_Free_Dreamer

Did you utilise your limit?

The bank only have a set amount of money to lend and if you are not using it and earning them money, it makes financial sence to reduce your credit limit and give the limit to another customer who might. So even though you are a good customer, this could be why they have reduced your limit.