Halifax rate increase

_Andy_

Oh joy, another thread about variable rates varying.

_Andy_

Even if the base rate was connected to it - so what? Banks and companies exist to make profit.
By the same reckoning, Tesco shouldn't be allowed to increase the cost of bread if the price of wheat reduces, etc.

[Deleted User]

izools wrote: »

you don't need to pay it off

Simply call them, tell them you are opting out and to close the account, and you can continue to repay your debt at the same pace and APR, but won't be allowed to use the card again.

Simples

Sure, but then we come down to the whole "reasonable amount of time to repay" thing and I'd rather be able to pay off at my planned speed with the option to lower payments if I'm out of a job than have them impose a hard limit. Plus I want the percentage of credit to be available for next time I apply for credit for whatever reason.

_Andy_ the point is not as much about variable rates varying, I can comprehend the English language quite well, it's the fact that it's 5% that tastes bitter. It seems to me a cynical last push by the banks before they agree the new rules that are swilling about.

hullight

But that's why they allow you to reject the rate increase and pay off what you owe now at the current rate, albeit not being able to borrow any more on the card.

It's not like they are forcing you to spend on the card at the new rate.

izools

Deleted_User wrote: »

Sure, but then we come down to the whole "reasonable amount of time to repay" thing and I'd rather be able to pay off at my planned speed with the option to lower payments if I'm out of a job

The repayment terms don't change one single iota from how they are at the moment!!!!!

If your minimum is now 2.25% of the balance each month, then it will still be 2.25% of the balance when the account is closed.

Quite literally the only two things that change when you close the account closes are:

1. APR increases are cancelled
2. No more debits from the account are allowed

Everyting else remains exactly the same as it is now.

Please listen next time

Deleted_User wrote: »

the point is not as much about variable rates varying, I can comprehend the English language quite well, it's the fact that it's 5% that tastes bitter. It seems to me a cynical last push by the banks before they agree the new rules that are swilling about.

If you didn't want to be tied into a credit agreement that could increase the rate as much as they felt like, i.e. 5%, 10%, or even 50%, then you shouldn't have agreed to one that didn't state a maximum. You did, so they can, and did. Simples

As others say, you agreed to have a variable interest rate and they varied it. No crime or offence has been committed. If you don't like it, close the account or take the balance elsewhere. More simples