Barclaycard stitch-up!?

silly2savvy

A few weeks ago I successfully applied for a Barclaycard Platinum. The introductory offer was 0% on balance transfers for 12 months.

I moved just over £1500 onto my new Barclaycard from 2 smaller (interest charging) cards.

I had my new credit card no longer than a week when I received a letter advising me that Barclays lending criteria had changed. My account had been closed. I called them to query this and they reiterated what the letter had said. When I asked about the outstanding balance they advised me that I would have to repay this at 19.9% APR:eek:.
I work with somebody who used to work for Barclaycard and she says this is typical behaviour from them (hence why she eventually left). She said this a standard technique they often use to maximise profits.

No doubt Barclaycard have covered themselves in their small print but I wonder if there is anybody out there who has experienced this and/or can offer any advice.

Many thanks in advance

(p.s - My "fair" credit rating means I've been unsuccessful in being accepted for a new balance transfer card).

BugsyBrowne

silly2savvy wrote: »

A few weeks ago I successfully applied for a Barclaycard Platinum. The introductory offer was 0% on balance transfers for 12 months.

I moved just over £1500 onto my new Barclaycard from 2 smaller (interest charging) cards.

I had my new credit card no longer than a week when I received a letter advising me that Barclays lending criteria had changed. My account had been closed. I called them to query this and they reiterated what the letter had said. When I asked about the outstanding balance they advised me that I would have to repay this at 19.9% APR:eek:.
I work with somebody who used to work for Barclaycard and she says this is typical behaviour from them (hence why she eventually left). She said this a standard technique they often use to maximise profits.

No doubt Barclaycard have covered themselves in their small print but I wonder if there is anybody out there who has experienced this and/or can offer any advice.

Many thanks in advance

(p.s - My "fair" credit rating means I've been unsuccessful in being accepted for a new balance transfer card).

You were lucky you got 19.9% with a fair credit rating, mainstream lenders won't normally take anyone with a fair credit rating.

Mainstream lending criteria is good/excellent credit rating

silly2savvy

In usual cirucmstances I would agree - however I signed up for 0% on balance transfer. I can't help feeling they accepted me (along with my credit rating) with a view to using this technique.......

Tixy

I doubt they accepted you with the intention of doing this. At the moment barclaycard seem to have a glitch in their system where they are accepting people's applications and then do further credit checks and close people's accounts (anything from a couple of days to a couple fo weeks later)- there are lots of instances of this happening on here over the last month or so.
What is different in your case to most of the others is that you had already transferred a balance across. I would try going back to them and complaining and seeing if you can get that 19.9% reduced. I'd also ask for any BT fee you paid to be refunded.

What other cards did you transfer from? have you tried contacting these companies to see if they will give you a promo BT deal on new transfers? Maybe you could transfer the debt back to those?

silly2savvy

Thanks Tixy,

I'll see what response I get to my correspondence and report back. Transfer from Capital One & Vanquis. Essentially I have a rubbish credit rating as I have not borrowed before so would only be accepted by these extortionate companies, however I bit the bullet in an effort to build up my credit profile - a couple of unexpected bills later and I had a high interest debt. Although the 19.9% I'm now being charged is better than the 34.9% I had previously, my concern is that what happened to me could be happening as a matter of course. Perhaps I am paranoid due to the horror stories I have heard from the ex-Barclaycard employee.

Anyway - thanks again for your advice.

Tixy

Barclaycard do have a card that is 6.9% for balance transfers (I know because of this thread Barclaycard not honouring 0% interest) I wonder if its worth trying to push to get that rate? It may be unlikely but I'd guess you have nothing to lose by trying.

FuzzyCub

The same situation has happen to my partner this week, but they closed the account 1 day after the transfer.

stueyindeep

This just happened to me but luckily the 3500 I was balance transfering hadn't gone over yet.

Will this effect my credit rating? An accepted then dropped account?

chattychappy

stueyindeep wrote: »

This just happened to me but luckily the 3500 I was balance transfering hadn't gone over yet.

Surely unluckily.. because if it had then you would have secured the deal. They wouldn't have been able to demand immediate repayment or send it back (unless you had been fraudulent).

stueyindeep wrote: »

Will this effect my credit rating? An accepted then dropped account?

One impact is the search. Too many searches is bad. But they don't record outcomes, only the fact of search being done.

If the account is showing as being opened and then closed normally (settled), or not shown at all, then no impact there. There would be an impact if it was wrongly recorded.

If they think you were fraudulent in your application, then there could be a marker with CIFAS, National Hunter etc. (unlikely).