Barclaycard Interest Increase

timetothink

Hi,

Received my bill as per today and was shocked to read that they are putting my interest rate up to 19.9% from 14.9% starting from August on all new purchases and existing balances.

I have never missed a payment and am always in my limit.

I rang Barclaycard who informed me that the reason it was going up is because Experian had told them i am now a high risk?

The lady on the phone confirmed that experian had informed them and not Barclaycard asking for the information.

I think this is a ridiculous hike in interest and short of going to the ombudsman not sure where I stand on this?

Any advice or similar experiences would be of help

YorkshireBoy

timetothink wrote: »

...short of going to the ombudsman...

You'll be wasting your (and the Ombudsman's) time.

not sure where I stand on this?

It's quite simple. You tell Barclaycard you won't be using the card anymore so you'd like to exercise your right to remain on the old rate until the current balance is repaid. Then take your new business elsewhere.

timetothink

YorkshireBoy wrote: »

You'll be wasting your (and the Ombudsman's) time.

...

Ok, but am i right in thinking that each time a complaint is made to the ombudsman the company involved has to pay a certain amount for the costs involved. If they are going to rob me for no apparant reason why should i not (at the expense of the ombudsman granted) hit them where it hurts too?

Gorgeous_George

timetothink wrote: »

... they are putting my interest rate up to 19.9% from 14.9% starting from August on all new purchases and existing balances...

... I think this is a ridiculous hike in interest...

I think 14.9% was already ridiculous.

Credit Cards MUST be paid off in full to avoid ridiculous interest rates.

Get a different card and do as advised above (by YorkshireBoy).

GG

HouseHuntr

timetothink wrote: »

Hi,

Received my bill as per today and was shocked to read that they are putting my interest rate up to 19.9% from 14.9% starting from August on all new purchases and existing balances.

I have never missed a payment and am always in my limit.

I rang Barclaycard who informed me that the reason it was going up is because Experian had told them i am now a high risk?

The lady on the phone confirmed that experian had informed them and not Barclaycard asking for the information.

I think this is a ridiculous hike in interest and short of going to the ombudsman not sure where I stand on this?

Any advice or similar experiences would be of help

I'm surprised you didn't have a heart attack with such a shocking increase of 5% to a shocking 19.9%.
If you go to the ombudsman and explain how shocked you are don't be too shocked when they ignore your shocking complaint because shockingly enough as it sounds you have to follow procedure. Isn't that just awfully shocking too !

PNPSUKNET

companys have to make profit, when idiots like you raise stupid complaints genuine customers are left waiting.

BoGoF

You have no grounds to go to the Ombudsman, you are not being robbed. If you don't like it close your account and go elsewhere and stop wasting eveybody's time.

BoGoF

Or, you could be a really clever MSE and pay online. Shockingly you save the cost of a stamp.

YorkshireBoy

timetothink wrote: »

Ok, but am i right in thinking that each time a complaint is made to the ombudsman the company involved has to pay a certain amount for the costs involved.

No. Only if the complaint is considered worthy of investigation by a senior adjudicator will the organisation be charged a case fee (currently £500?). Your complaint won't get past the office junior. It will be thrown out, in an attempt to shorten the delays being experienced by others with more 'serious' matters.

Why you want to stay with an organisation that treats you that way beats me. As I said earlier, vote with your feet. And if you can't, due to credit-worthiness issues, then Barclaycard got it right didn't they?

YorkshireBoy

HouseHuntr wrote: »

...such a shocking increase of 5% to a shocking 19.9%.

Jill_ wrote:

Barclaycard raise the interest rate by 5%

The rate hasn't been increased by 5% (because that would give an APR of only 15.64%). It's been increased by 5 percentage points, which is around 33%.

chattychappy

I'm totally shocked at all the unhelpful sarcasm in this thread...