MSE News: Barclaycard to buy 1.15 million Egg customers

OllyM

This is the discussion thread for the following MSE News Story:

"Card holders are likely to transfer if a proposed deal goes ahead later this year, but what will be the impact? ..."

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Barclaycard to buy 1.15 million Egg customers

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http://www.reuters.com/article/2011/03/01/barclays-egg-idUSLDE7200BN20110301

Could this be the end of the Egg Money 1% cashback? The article seems to suggest that they will integrate into Barclaycard's systems rather than operating separately like they did under Citi's ownership.

Rupert_Bear

I personally prefer that it was sold to Barclays rather than a sub prime lender. My interest rate on my old Citi card went up to 40% when it was bought out by another lender called OPUS. Obviously I cancelled the card.

kkgree1

Anyone know when they will start merging the Egg Money accounts into Barclaycard?

We have a Barclaycard but stopped using it last year when they took our cashback to 0.00 (we spend over £1000 a month on it). Trying to reason with the indian call centre and get the cashback back was enough for us to stop using it and switch to using Egg Money instead.

Have been very happy with Egg and now hear the news they are being taken over from Barclaycard. Not at all happy

[Deleted User]

You'll probably be looking at around 12-18 months time.

Jennifer_Jane

Oh dear. Very sad to hear this, but thanks for posting the info.

AirlieBird

OllyM wrote: »

Could this be the end of the Egg Money 1% cashback?

Most likely it will be the end for all spend. When they bought Morgan Stanley they limited 1% to the first £200 per month IIRC. They changed it last year to an absymal 0.25% for the first £200, then 0.35% and 1% for spend above £1,500.

dazza.mk

We might be migrated onto Barclaycardfreedom :eek::eek:

izools

dazza.mk wrote: »

We might be migrated onto Barclaycardfreedom :eek::eek:

The most p!ss poor excuse for a rewards scheme I've ever seen.

Maybe Capital One are going to see a nice healthy influx of applicants for their World card soon?

And you get your first years card fee essentially free by way of cashback if you apply via TopCashBack:

http://www.topcashback.co.uk/capital-one-world-mastercard/

Froggitt

If they think about it logically, people have Egg Money cards for the cashback. If they stop the cashback, people will go elsewhere. Why then would they spend hundreds of millions of pounds for a business likely to hemmorage all its customers in the first year.

Moved from GM Card wen they restricted the redemption rates on small cars, moved from Conran Card when MBNA swallowed them up and stopped cashback.....theres another one somewhere that I left as well I thnk!!!

[Deleted User]

Froggitt wrote: »

If they think about it logically, people have Egg Money cards for the cashback. If they stop the cashback, people will go elsewhere. Why then would they spend hundreds of millions of pounds for a business likely to hemmorage all its customers in the first year.

Because they bought the portfolio at a discount. If everyone leaves, lots of cash comes flooding in.

Biggles

Froggitt wrote: »

If they think about it logically, people have Egg Money cards for the cashback. If they stop the cashback, people will go elsewhere. Why then would they spend hundreds of millions of pounds for a business likely to hemmorage all its customers in the first year.

That didn't stop them when it came to buying the Morgan Stanley CC business and stopping the cashback.