Are credit card cheques illegal?

uptomyeyeballs

Is it illegal for credit card providers to send you a letter with credit card cheques in for balance transfers? I thought I read it somewhere.

I got a letter from Halifax yesterday of this type. I don't have any balances to transfer, and my Halifax Visa balance is zero too, so it's irrelevant to me.

immoral_angeluk

No, why would it be?

uptomyeyeballs

immoral_angeluk wrote: »

No, why would it be?

Just thought i'd read it had been outlawed. Must have been mistaken.

sizzler

No plenty of companys send out these cheques. A lot of people use them and dont read the termas and conditions properly and get stung:eek:

davetrousers

Interesting, there certainly was some uproar a few years ago about Credit Card cheques.

twist-and-shout

MBNA have stopped sending out these cheques as from 01/04/2010. They are being phased out completly by other companies though.

Danny_G

uptomyeyeballs wrote: »

Is it illegal for credit card providers to send you a letter with credit card cheques in for balance transfers? I thought I read it somewhere.

I got a letter from Halifax yesterday of this type. I don't have any balances to transfer, and my Halifax Visa balance is zero too, so it's irrelevant to me.

No offence, but this is kind of a dumb question

How can the be illegal? if the 'credit card companies' are the one which send them out?

HouseHuntr

uptomyeyeballs wrote: »

Is it illegal for credit card providers to send you a letter with credit card cheques in for balance transfers? I thought I read it somewhere.

I got a letter from Halifax yesterday of this type. I don't have any balances to transfer, and my Halifax Visa balance is zero too, so it's irrelevant to me.

If they were illegal they wouldn't send them out !

usedandabused

Danny_G wrote: »

No offence, but this is kind of a dumb question

How can the be illegal? if the 'credit card companies' are the one which send them out?

no question is dumb, did your teachers never tell you that?

anyway i think the OP may have read things such as these:
http://news.bbc.co.uk/1/hi/business/8129555.stm

to quote the BBC ''Credit card cheques to be banned''
http://news.bbc.co.uk/1/hi/business/8129855.stm

and assumed it was illegal

usedandabused

twist-and-shout wrote: »

MBNA have stopped sending out these cheques as from 01/04/2010. They are being phased out completly by other companies though.

and i wonder why they are phasing them out


http://www.which.co.uk/news/2009/03/credit-card-cheques-to-be-banned-172027

never-in-doubt

Yes with the new rules that are soon to be brought in, CC companies will no longer issue them willy-nilly anymore..... not illegal, but would a breach of regulated FSA requirements, unless it was OFT (think it may have been) that suggested it....

Its all linked into this thing that Martin is foghting for, i.e. paying off high APR's before the 0% ones etc, making the minimum payments more accessible etc etc

It is not illegal though, criminal law and banks work hand in hand - hahahaha