MBNA cards - a warning

davp

YorkshireBoy wrote: »

So it isn't (now) a problem for you. Your warning will be read, and heeded, by some people (especially the replies suggesting DD) but, sadly, we will still get several posts each week reporting the same issue.

What a lot of people fail to see is that these deals are very much loss leaders for the lenders. After all, why would you lend money if you didn't hope to make a profit? I believe it's known as 'speculate to accumulate'.

MBNA are currently lending money (for BTs) at 0% for 16 months for a 1.99% fee which equates to an APR of less than 1.5%. I'm making a lot more than that after tax in my savings accounts...with no risk to my capital!

Well, I am still trying to do something about it, though I don't expect I'll succeed.

Yes, clearly these are loss leaders, but this particular company certainly pounces on its profit when the opportunity arises. And the "profit" that you and I make is pretty small compared to those of the lenders. Certainly I knew what I was entering into; I just got unlucky this time, but it's also true that some lenders are more inclined to make the "goodwill gesture," which may have longer term returns for them.

sarahjayne1977

I was late with a payment, they give me a late charge and knocked me off interest-free.
One phone-call later late payment took off and back on 0% and that was MBNA i must have been one of the lucky ones:)

bbfc

Some lends might be more lenient. I was late with a payment on my M&S CC and they didn't charge me. Obviously MBNA don't make any concessions and they apply the charge. They can do that as its in their T&C's.

What are you trying to do about it?

tomsco

davp wrote: »

Just to let everyone know who uses their 0% cards, MBNA ruthlessly applies its T&C and will use the rules to charge a hefty interest fee, should you, for instance, be late with a payment for whatever reason.

On the rare occasion in the past this glitch has happened to me, the issuer has been flexible. Not MBNA.

How is it possibly a glitch?

chattychappy

Gromitt wrote: »

Two words fix that for every single provider whether flexible or not: Direct Debit.

Not really. People easily get into a mess with DDs. Plenty of threads here where people thought they'd set them up in time when they didn't etc. Then, of course, you have to remember to have enough money in your current account to cover the DD.

Reality is - you are responsible for making the payment on time, by whatever means.

My guess is that the kind of people that mess up in the absence of DDs are quite capable of messing up with them.

chris-j

davp wrote: »

Hmm, I hadn't realised this site has a tendency to troll. My comment is intended to warn others. I accept DD is a way to avoid these problems, but this is the only lender I've found to be intransigent.

If that's of no interest to you, that's okay. But I would have thought there are better things to do than make inane replies.

Your original post was inane and inaccurate. You breached the basic T&Cs and close the account and claim MBNA are bad then within 17 mins someone has the opposite experience. Within a few hours another person appears to have had same experience and reversed it with one call to the company.
Maybe your approach is wrong, you are making assumptions about what they will do when others experience suggests you are wrong.. Maybe you should try negotiating with company first in future then post your experience - good or bad' which is more useful to people.

sharpy2010

I bet the OP either didn't phone them at all, or phoned screaming the odds and the customer service advisor thought "sod this" and did everything he/she could not to help the OP.

gglaze

Thanks to the original poster for this info. Don't understand all the hostility here to a friendly warning!

FYI I had the exact same experience last month with my Opus card (formerly Citi).. called and was unable to get any help reversing or getting my promo rate back. It was on a lifetime promo rate, 6.9 or something like that, not spectacular but not the worst in my arsenal either, so was a shame to lose it. I immediately paid off the entire thing, as I think their normal rate is something ridiculous like 27%. Considering also closing the card now.

I had much better luck getting leniency on a single missed/late payment before, even last year - so perhaps things are getting tougher now.

Thanks again, interested to know of any other reports of card providers showing and/or not showing leniency to minor violations.

MonkeyMad

The hostility is that for whatever reason the OP has told us in round-about terms that if you break the T&Cs of the agreement, MNBA have the temerity to levy their stated fees, that they don't feel the need to be flexible in this, and that somehow this makes them a bad lender.

Without mentioning the fact it is actually caused by a bad borrower, whose 'glitch' is not paying their bill on time.

Donki

gglaze wrote: »

Thanks to the original poster for this info. Don't understand all the hostility here to a friendly warning!

FYI I had the exact same experience last month with my Opus card (formerly Citi).. called and was unable to get any help reversing or getting my promo rate back. It was on a lifetime promo rate, 6.9 or something like that, not spectacular but not the worst in my arsenal either, so was a shame to lose it. I immediately paid off the entire thing, as I think their normal rate is something ridiculous like 27%. Considering also closing the card now.

I had much better luck getting leniency on a single missed/late payment before, even last year - so perhaps things are getting tougher now.

Thanks again, interested to know of any other reports of card providers showing and/or not showing leniency to minor violations.

The problem with the thread is the OP signed up for a card, suposedly read the T&C then broke the T&C and expected that nothing would happen? Its amazing how some people must think, T&C are their for a reason, to be read and adhered to.