Santander Credit Card APR

denise1959_2

I have a Santander credit card. I recently recieved a letter saying my interest rate would be going up to 34.9% variable. It says that if I'm not happy then I can freeze it at the existing rate and close my account once the balance is paid off. I spoke to Santander customer services and asked why was it going up this amount? He informed me this rate was just for cash transactions. I told him I never withdraw cash! And he did state that it was going up due to the 'goverment' and if I did transfer to another credit card it would have the chance of going up to this too.

I'm a bit confused as having read through this letter, it states it's 34.9% for everything not just cash transactions.

I have never defaulted on my credit card. I always pay on time and excede the amount that I have to pay.

At the moment I have an outstanding balance of £1,579.29 and minimum payment due this month is £42.62. I pay £100 every month. What are my options?

CLAPTON

your options are basically to accept the new apr
or to reject the new apr and stay with your existing apr ; you can continue to make the monthly payments but you can no longer use the card and once the balance is clear then they will close the a/c

do you have other cards?

minxy_lou

Hi Denise,

I had the same letter come through the post today and was horrified that they can just tell you its going up and to that high too! Im contemplating freezing it but then I’ll never have the option of using that account again.

I came on here to see if they can just change the interest rates and to that high as well...

Its ridiculous especially when they go on about people being in debt, well were not going to get out of it if they put their interest rates up that high! We will end up in even more debt.

And right before christmas too...

Typhoon2000

Thats why you have to ring and ask them to freeze your interest, and close your account - this way you wont be able to get into any more debt and can slowly paydown your balance too,

BugsyBrowne

minxy_lou wrote: »

Hi Denise,

I had the same letter come through the post today and was horrified that they can just tell you its going up and to that high too! Im contemplating freezing it but then I’ll never have the option of using that account again.

I came on here to see if they can just change the interest rates and to that high as well...

Its ridiculous especially when they go on about people being in debt, well were not going to get out of it if they put their interest rates up that high! We will end up in even more debt.

And right before christmas too...

My girlfriend got the same letter yesterday putting her zero card up to 29.9% apr,she got so pi*sed off about it she has now frozen her's.

denise1959_2

Thanks for the replies...
No I don't have any other credit cards.
I'm Confused???
Just annoyed because i don't want to close the account.
Very confused????

starson79

Hi - I got the same letter for a credit card I have had with Lloyds for a few years. I don't mind closing the account because I don't use it anymore and am just paying it off every month.

MY question is - if I close this does this mean that my total available credit wil reduce by the amount currently available to me on this card? Lloyds have been upping my limit for some time - and it's unwelcome and unused credit.

I am hoping to shift the balance from this card to another new 0% deal in a few months time - if I close the account - will the £7000+ credit limit on this card be removed from my total available credit, thus giving me a better chance of being accepted for another card in December?

Thanks.

chattychappy

denise1959 wrote: »

I have a Santander credit card. I recently recieved a letter saying my interest rate would be going up to 34.9% variable. It says that if I'm not happy then I can freeze it at the existing rate and close my account once the balance is paid off. I spoke to Santander customer services and asked why was it going up this amount? He informed me this rate was just for cash transactions. I told him I never withdraw cash! And he did state that it was going up due to the 'goverment' and if I did transfer to another credit card it would have the chance of going up to this too.

I'm a bit confused as having read through this letter, it states it's 34.9% for everything not just cash transactions.

I have never defaulted on my credit card. I always pay on time and excede the amount that I have to pay.

At the moment I have an outstanding balance of £1,579.29 and minimum payment due this month is £42.62. I pay £100 every month. What are my options?

Judging by what others have said, the phone operator was wrong. You must go by the letter. You say "recently" - don't leave it too late to opt out if that's what you wish to do. Frankly I'd do it by recorded delivery letter.

denise1959_2

I've phoned them and froze and cancelled the account at the apr thats its on at moment!
Didn't want to take the chance of it going up as i believe the young lad at Santander customer service wasn't too clued up!
Thanks for peoples advice