capital one upped my already high apr!

debtfreemom_2

my partner has a capitalone card, nil balance but has used the card for over 2 years , limit 1800, apr currently 29.9%

recieved a letter today saying from may the new apr will be 34.9%

?????? he gets punished for paying it off??:mad:

CLAPTON

virtually all credit cards are increasing their interest rates.. these boards probably have at least one or two posts a day on this.
its probably nothing personal but as he always pays off in full it wont affect him anyway

SparciaM

I just got a "You've been pre selected for a capital one credit card" flier, at a very competitive 40.2% APR rate and a limit of £200.!.

I don't understand how they think that is competitive.!.

I've got a Halifax CC at 14.9% with a limit of £3800 and a FD CC at 2.9% with a limit of £2000

go_debt_go

Yes, wouldn't worry about it, especially if not in debt on it. They sent me a completely unsolicited letter through the post yesterday offering me their card at 34.9% APR! Couldn't believe my eyes. Sent it back, in THEIR pre-paid envelope, and wrote on the form "remove me from your mailing list - if I wanted to be robbed, I'd send you my house keys".

debtfreemom_2

he has phoned up today ans was put on hold ( indian call centre couldnt understand) and has now closed his account, whats the point in havin a card with that high apr when he can go else where? x

c8ndice

I received the same letter this morning.

They are raising the interest rate after my april statement.

This is the first time this has happened since I got my card two years ago. Still it beats vanquis... They have raised my interest rate to 47% :eek:

thesaint

debtfreemom wrote: »

my partner has a capitalone card, nil balance but has used the card for over 2 years , limit 1800, apr currently 29.9%

recieved a letter today saying from may the new apr will be 34.9%

?????? he gets punished for paying it off??:mad:

If he didn't have any balance, what exactly is his punishment?

debtfreemom_2

thesaint wrote: »

If he didn't have any balance, what exactly is his punishment?

its the fact that for the last 12 months, he has asked for a lower apr and they keep saying we should be abl to lower it in the future, and to keep paying the balance off etc.... 12months later by the way your apr is going up??

thats all, feels like custom is not appreciated.:rolleyes:

Miss_H

c8ndice wrote: »

Still it beats vanquis... They have raised my interest rate to 47% :eek:

47%!!!! :shocked: OMG! Is that legal?

xgingerx

Snap !! I got the same latter, I was told if my credit score is much better now than when i first took the card out (bearing in mind I did have a very poor score 2 years ago) then I would be better off closing the account and reapplying for a better card ie platinum as your card and rates are still based against the first application, which now come to think of it makes a lot of sense as had no increases and only rate increases although I have Platinum cards with nice limits.

I do however think it is wrong to penalise everyone because they have their standard crap card regardless of payment history and keeping within the terms and conditions.

They do give you 2 options on the back of the letter if you dont like it

1) Pay off balance and close account - Easier for some people than others, I would love to do that but dont have that option yet

2) Keep the same rate but destroy the card and continue to pay minimum or more until paid off

At least they have given us an option although not ideal

Does anyone have any views on this ?

I personally feel like Ive got a gun to my head and either surrender the card at the current apr or accept the hike in interest.

Miss_H

Ginger - would they let you balance transfer from your classic card to the new platinum card?

I would try it on and see where it goes.