Egg Card APR Increase - Furious!

dln6376

I have just received an email from Egg kindly informing me that my APR is being increased to 24.9% !!!

When I first got my Egg Card the APR was 13.9%, shortly afterwards Egg increased their 'typical' rate to 16.9%.

Approximately 6 months ago I was informed that my rate woud be increased to 21.9% and today ANOTHER increase to 24.9%.

I must admit that I don't clear my balance each month however I have never missed a payment and operate my account well within their terms and conditions.

Personally I feel these APR increases are a new way for Egg to steal from their customers now that they are somewhat limited with their penalty fees for late payments etc.

Clariman

dln6376 wrote: »

I have just received an email from Egg kindly informing me that my APR is being increased to 24.9% ... personally I feel these APR increases are a new way for Egg to steal from their customers now that they are somewhat limited with their penalty fees for late payments etc.

"Steal" is a very emotive word but the basics of what you say are undoubtedly true. As a group of consumers, we need to understand that our collective actions have consequences and that we might not like the consequences. As I said in a post the other day:

"The other consequence is that the banks have their business models of how and where they make their money. Penalty charges clearly were a part of that. Now that this has largely been torn away from them, they will ensure that they make up the missing revenue from somewhere else. We have already witnessed the near disappearance of fee free 0% Balance Transfer offers and we may yet see the demise of free banking."

The full thread is here.

Clariman

PinkPig

They increased my rate from 9.9% to 10.9% recently - I suppose the actual rate depends on what they think of you based on your history with them. I'm surprised my rate is so good - I've gone over my limit a couple of times with them (by mistake, of course, and paid it off quickly included a ridiculous £16 charge) - but it seems it hasn't made much of a difference.