Minimum Payment has shot up!!!

ninhydrin

I have a virgin Credit Card (MBNA) I usually have a minumum payment of around £55 but it has shot up to £93!!
I rang them tonight and they said its because the way I pay interest has changed and the minumum payment has now changed also, is this right and how can they justify charging you that much extra without you having any rights?

[Deleted User]

They notified the change of minimum payment a few weeks back. No one has successfully challenged it as far as I'm aware.

On the plus side, you're paying off the debt quicker, though that may not be very comforting if you're stretched already. Moving to a new lender won't help either, as all new cards will apply the same min payment calculation.

ninhydrin

cheers for your reply, Im not really stretched at present but I do have a barclaycard with the same sort of repayments is this one likely to do the same?

[Deleted User]

Not as far as I know. MBNA is the only provider who's implemented the new min pay requirements onto their existing customers.

Saints2011

ninhydrin wrote: »

cheers for your reply, Im not really stretched at present but I do have a barclaycard with the same sort of repayments is this one likely to do the same?

I think its a bit naughty of them to change it for people who are already stretched.

michaelvintner

KirbyBirch wrote: »

I think its a bit naughty of them to change it for people who are already stretched.

That is MBNA for you. A devious dirty trick scum company. If MBNA was your friend it would be the friend that tried to get off with your girlfriend and steal £20 out your wallet when you are not looking.

Personally I welcome the payment change as now I will pay them back a lot quicker and then I can file their cr*ppy card in the shredder were it belongs however existing customers should have had a choice but MBNA would never do that as they are devious scum.

firesidemaid

mine has also gone up from £25 to £57.

mine has a super-low rate so am a bit miffed will have to wiggle my budgets, but suppose it will get paid off quicker.

would rather it be my choice though:mad:

Fruit_and_Nut_Case

michaelvintner wrote: »

Personally I welcome the payment change as now I will pay them back a lot quicker...

If you like the concept, what stopped you paying more before MBNA changed the rules?

chattychappy

ninhydrin wrote: »

its because the way I pay interest has changed and the minumum payment has now changed

In what way has the way you pay interest changed?

ninhydrin wrote: »

is this right and how can they justify charging you that much extra without you having any rights?

I agree, I think it's legally dubious. However I think this is a fight that consumer organisations don't want to get into and I haven't heard of any individuals challenging it.

But I wouldn't see it as a "charge". In most cases it is a simple requirement to pay back more of what you owe each month.

michaelvintner

Fruit_and_Nut_Case wrote: »

If you like the concept, what stopped you paying more before MBNA changed the rules?

I like it how people here JUMP TO CONCLUSIONS. I have a direct debit set up for the minimum payment. I then had to make an additional payment which sometimes I did not get around to doing.

The minimum payment is now more sensible and seeing as my entire balance is on a lifetime balance transfer rate of 8.9% I will be able to get rid of their sc*mmy cards faster.

YorkshireBoy

michaelvintner wrote: »

I then had to make an additional payment which sometimes I did not get around to doing.

So to answer the question posed then, it was down to any or all of the following; lethargy, apathy, neglect, forgetfullness, inertia...but mainly the realisation that you had a very cheap debt?

The minimum payment is now more sensible and seeing as my entire balance is on a lifetime balance transfer rate of 8.9% I will be able to get rid of their sc*mmy cards faster.

I'm struggling to see why, when they've in effect given you a lifetime loan at around 6% interest*, you hate them so much?


* If you switch from one 0% deal to another you'll pay around 3% a year in fees.