Barclaycard Upped The Interest Rate!

Options
Poosmate
Poosmate Posts: 3,126 Forumite
Early morning all!

I have a low life of balance* card with Barclaycard which I have been making minimum payments on (paying off more on my higher interest cards first).

However, for the last few months I've paid (literally) pennies more than the minimum in that I've been rounding the min payment up to the next pound.

I've just checked my August statement online and it showed a higher interest rate and minimum payment!

Can they raise the interest rate without notifying me beforehand? I didnt think they could. I've had no notification of this rise. I do open all of my post as I pay all of my bills/debts (peversely I love getting my statements - there's nothing like seeing that balance reducing in black and white!).

Also, is it possible they work the same policy as MBNA seem to, i.e. if you pay more than the minimum you must have too much money and so be able to afford a higher interest rate? Honestly, MBNA informed me that they'd put up my interest rate "because I could afford it"!!!

Anyone else with Barclaycard been subject to an interest rate rise or is it just me they are picking on?

Thanks

Poo

*Although it's a low life of balance I messed up with the DD so the 2nd or 3rd payment was a few days late. They put me on their SVR but it was still lower than my other cards.
One of Mike's Mob, Street Found Money £1.66, Non Sealed Pot (5p,2p,1p)£6.82? (£0 banked), Online Opinions 5/50pts, Piggy points 15, Ipsos 3930pts (£25+), Valued Opinions £12.85, MutualPoints 1786, Slicethepie £0.12, Toluna 7870pts, DFD Computer says NO!
«1

Comments

  • BugsyBrowne
    BugsyBrowne Posts: 5,697 Forumite
    Options
    Poosmate wrote: »
    Early morning all!

    I have a low life of balance* card with Barclaycard which I have been making minimum payments on (paying off more on my higher interest cards first).

    However, for the last few months I've paid (literally) pennies more than the minimum in that I've been rounding the min payment up to the next pound.

    I've just checked my August statement online and it showed a higher interest rate and minimum payment!

    Can they raise the interest rate without notifying me beforehand? I didnt think they could. I've had no notification of this rise. I do open all of my post as I pay all of my bills/debts (peversely I love getting my statements - there's nothing like seeing that balance reducing in black and white!).

    Also, is it possible they work the same policy as MBNA seem to, i.e. if you pay more than the minimum you must have too much money and so be able to afford a higher interest rate? Honestly, MBNA informed me that they'd put up my interest rate "because I could afford it"!!!

    Anyone else with Barclaycard been subject to an interest rate rise or is it just me they are picking on?

    Thanks

    Poo

    *Although it's a low life of balance I messed up with the DD so the 2nd or 3rd payment was a few days late. They put me on their SVR but it was still lower than my other cards.

    Yes they can put the interest up when they choose,but you can only blame yourself now after missing a payment,why should they keep someone on the best interest rate if you cant make a payment on time..
  • fozmcfc
    fozmcfc Posts: 3,098 Forumite
    First Anniversary Combo Breaker PPI Party Pooper Debt-free and Proud!
    Options
    Basically they have done what the T&C's of the LOB state, if you miss or make late payments, you will forfeit the promotional rate.

    Only thing you can really do, is ring them be polite and see if there is anyway they will re-instate the LOB rate.
  • Rupert_Bear
    Rupert_Bear Posts: 1,303 Forumite
    Options
    It these companies are generous enough to give us low rates for a period of time then at least we can do is make sure we keep to the terms and conditions. With the greatest respect the the OP he has only himself to blame but I am sure a lesson has been learnt.
  • Poosmate
    Poosmate Posts: 3,126 Forumite
    Options
    Sorry I didn't make it clear earlier (as you can see it was very early this morning when I posted). I've had this card for about 18 months with no problems except for the teething problems which burnt me and I acepted it was my own fault that I was put on the SVR.

    The problem is, I've run this account since then completely correctly. Payments are made and on time. The rate increase is not because of any kind of default. It's completely out of the blue. I've had no notification of it at all.

    The rate increase was not informed to me and I only found out because I checked my due statement online last night. Aren't they suppose to give me 28 days notice of a rate increase?

    Poo
    One of Mike's Mob, Street Found Money £1.66, Non Sealed Pot (5p,2p,1p)£6.82? (£0 banked), Online Opinions 5/50pts, Piggy points 15, Ipsos 3930pts (£25+), Valued Opinions £12.85, MutualPoints 1786, Slicethepie £0.12, Toluna 7870pts, DFD Computer says NO!
  • BugsyBrowne
    BugsyBrowne Posts: 5,697 Forumite
    Options
    Poosmate wrote: »
    Sorry I didn't make it clear earlier (as you can see it was very early this morning when I posted). I've had this card for about 18 months with no problems except for the teething problems which burnt me and I acepted it was my own fault that I was put on the SVR.

    The problem is, I've run this account since then completely correctly. Payments are made and on time. The rate increase is not because of any kind of default. It's completely out of the blue. I've had no notification of it at all.

    The rate increase was not informed to me and I only found out because I checked my due statement online last night. Aren't they suppose to give me 28 days notice of a rate increase?

    Poo

    Yes they may have giving you notice if you kept to the T&C's but unfortunately you did not..
  • Poosmate
    Poosmate Posts: 3,126 Forumite
    Options
    The low life of balance rate was stopped like 15 months ago when the payments got paid late because the DD was messed up. I accept that it was my fault and accepted the T&C's hence was put on to the SVR. But that was all about 15 months ago.

    So for the last 15 months I've been running the account according to the new T&C's (on the SVR). I've had no problems with it and no correspondence within the last month or so to inform me that the rate is being raised.

    I accepted a long time ago that I'd lost the Low LOB rate. This rise is not because of any kind of default (missed or late payment). I haven't defaulted since the early days (15 to 18 months ago). So the question remains, can they up the interest rate without notifying me within the last 28 days?

    Thanks

    Poo
    One of Mike's Mob, Street Found Money £1.66, Non Sealed Pot (5p,2p,1p)£6.82? (£0 banked), Online Opinions 5/50pts, Piggy points 15, Ipsos 3930pts (£25+), Valued Opinions £12.85, MutualPoints 1786, Slicethepie £0.12, Toluna 7870pts, DFD Computer says NO!
  • ElkyElky
    ElkyElky Posts: 2,459 Forumite
    Options
    Poosmate wrote: »
    Sorry I didn't make it clear earlier (as you can see it was very early this morning when I posted). I've had this card for about 18 months with no problems except for the teething problems which burnt me and I acepted it was my own fault that I was put on the SVR.

    The problem is, I've run this account since then completely correctly. Payments are made and on time. The rate increase is not because of any kind of default. It's completely out of the blue. I've had no notification of it at all.

    The rate increase was not informed to me and I only found out because I checked my due statement online last night. Aren't they suppose to give me 28 days notice of a rate increase?

    Poo

    Lenders are supposed to inform you of any rate increases and would have done by means of adding a little paragraph to your statements OR send you out a letter.

    Check over your previous statements to see if they have mentioned the rate increase. Many people complain that they haven't had any notice of rate increases but most of the time, they simply didn't read their statements properly which had the notification.
    We’ve had to remove your signature. Please check the Forum Rules if you’re unsure why it’s been removed and, if still unsure, email forumteam@moneysavingexpert.com
  • Rupert_Bear
    Rupert_Bear Posts: 1,303 Forumite
    Options
    Poosmate wrote: »
    The low life of balance rate was stopped like 15 months ago when the payments got paid late because the DD was messed up. I accept that it was my fault and accepted the T&C's hence was put on to the SVR. But that was all about 15 months ago.

    So for the last 15 months I've been running the account according to the new T&C's (on the SVR). I've had no problems with it and no correspondence within the last month or so to inform me that the rate is being raised.

    I accepted a long time ago that I'd lost the Low LOB rate. This rise is not because of any kind of default (missed or late payment). I haven't defaulted since the early days (15 to 18 months ago). So the question remains, can they up the interest rate without notifying me within the last 28 days?

    Thanks

    Poo


    My understanding is that if they are going to increase the rate then you should be given 1 months notice. You then have the choice to continue paying your present debt at the old rate and cannot use the card or you accept the new rate and can then continue to use the card.
  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
    Name Dropper First Post First Anniversary
    Options
    Poosmate wrote: »
    So the question remains, can they up the interest rate without notifying me within the last 28 days?
    The answer to that question will be found in your T&Cs.

    Take a look and report back?
  • Poosmate
    Poosmate Posts: 3,126 Forumite
    Options
    My understanding is that if they are going to increase the rate then you should be given 1 months notice. You then have the choice to continue paying your present debt at the old rate and cannot use the card or you accept the new rate and can then continue to use the card.


    Thank you. I thought the same and in fact, when MBNA put the rates up I sent them a message through their website and refused to accept the rate rise. At least they informed me of the rise.

    Barclaycard haven't. I've looked over my last statement again and again and there is no mention of a rate increase. I've had no correspondence from them. As I said previously, I open ALL of my post (I'm not burying my head in the sand over anything). I do realise the importance of reading all correspondence relating to finances.

    I am experienced in refusing rate rises which is why I am miffed that I haven't been given the option with Barclaycard.

    Thanks for your replies.

    Poo
    One of Mike's Mob, Street Found Money £1.66, Non Sealed Pot (5p,2p,1p)£6.82? (£0 banked), Online Opinions 5/50pts, Piggy points 15, Ipsos 3930pts (£25+), Valued Opinions £12.85, MutualPoints 1786, Slicethepie £0.12, Toluna 7870pts, DFD Computer says NO!
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.7K Banking & Borrowing
  • 250.3K Reduce Debt & Boost Income
  • 450K Spending & Discounts
  • 235.9K Work, Benefits & Business
  • 609K Mortgages, Homes & Bills
  • 173.4K Life & Family
  • 248.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards