Barclaycard temporary limit increase

mm74

Hi all,

Hoping someone may be able to offer some advice.

In May this year, I requested an increase to my Barclaycard balance in order to transfer some balances from elsewhere at a preferential rate. I got a 6k increase agreed by phone and later confirmed in writing. At no point during the phone call, and nowhere in the letter, was there mention of this being a temporary increase. Turns out it was for 6 months only.

Not knowing this, I began balance transferring, transferring balances from a couple of cards which I could no longer borrow on. The balances were reduced to 0 and the accounts closed.

Logging into my Barclaycard account today, I see that my limit has reduced by 6k back to the previous limit and I am now showing over £5k overlimit. I called up and they said they couldn't reinstate the 6k extra limit and that I'd be charged an overlimit fee each month and the balance transfers would be charged at a higher rate.

Of course, I wouldn't have used the card at all if I'd have known that the limit increase was only for 6 months.

I've written to them today but am expecting the standard 'sorry, we can't help on this occasion' type response. I guess my next step would be to go to the FSA.

Has anyone else experienced this or does anyone have any other advice?

Thanks.

happy_bunny_2

I think you have done the right thing by writing to them. If you don't get anything back in 14 days, send them a letter sent recorded and use the words formal complaint in it and tell them what you want them to do to put it right (at least not charge over limit fees and report to the CRAs that you are within limit).

If they don't do this, and they have given you their final answer, you can refer to the Financial Services Ombudsman.

Can't see how its fair they do this without telling you.

Curr946

Im sure i read somewhere that they could not reduce your rate without notifying you, and anything owing had to be within the limit. They can reduce a limit by 6k should you make a large payment for example.

Never heard of a temp limit increase on a card?...

I would follow Happy_Bunny's advise, write to them, then FOS

jo-bo

They did this to me once but the temporary limit was my actual limit! It was stated on my statement every month that I had a temporary limit increase and that I had to make sure that I had my balance below this limit by a certain date. Not quite sure why it came up that I had a temporary limit increase, I had requested a limit increase at the time and they said no, then on my next statement it said I had a temporary limit increase that matched my existing limit! Pretty much shows Barclays attention to detail

mm74

Thanks to everyone who's replied. (Not sure how I 'thank' your profile).

I'll see what they come back with and keep this thread updated in case anyone else has had the same issue.

happy_bunny - Thanks for the advice. I looked through my old statements and saw that there was a note on the last couple of the statements to see that the limit would be reduced. I didn't spot this as I was checking my account every couple of days online so I only gave a cursory glance to the statements. In any event, I had already done the balance transfers by then so it would've been too late anyway. I still think I have cause for complaint - I was never informed when I agreed the increase that it was temporary.

Curr946 - I've never heard of a temporary limit increase either - it's hard to see what the point in a 6k limit increase for 6 months would be. I certainly wouldn't have balance transferred if I did.

jo-bo - sounds par for the course. I spoke to their call centre 4 times but got no sense from them.