Egg on my back.

cobalt59

Having checked my Egg CC statement it said £130 available. Robbing Peter to pay Paul I had to use this money. A few days later Egg contacted me to say I was £65 over my limit and that they wanted payment straight away. I explained what the statement said but was told they had since added interest and it is down to me to take this in to consideration. I never miss a payment and next payment of £120 has gone out of my bank but they still want the extra £65 which I don't have. Where do I stand?

NeverEnough

If you're over your limit you are breaching the Terms and Conditions and they can demand that it be repaid at once. It is true that you need to take charges into account, like interest. Egg are particularly bad with even the smallest of amounts. They are in a lot of financial trouble, apparently, and Citibank apparently have them up for sale. They stopped doing loans some time back. I've got two credit cards with them that I've just been paying off (much more than minimum payments) as I don't want their massive interest rates, and just this week got two letters from them telling me that my credit limits had "been reduced in keeping with responsible lending policies". Indeed. And this for someone who has no missed payments or defaults, no changes in address for years etc. I can't wait to close the accounts for good!! You will need to pay the over-the-limit amount though, or enter into an agreement which may reflect badly on your credit rating.