Egg Minimum Finance Charge

MRSTITTLEMOUSE

I paid off my egg card and was the next month charged £15 for the interest accrued for that month till the payment hit my account,fair enough.
My problem is that I have just read my new statement and this month even though I have no balance they have charged me a minimum finance charge of 48p with 2p interest.I know it's only 50p,but is this something new that they will charge every month even if I don't use my card.I have had no notification in change of terms,so can anyone explain what this cahrge is.Thankyou.

rsykes2000

Yes, this is now their minimum monthly interest charge if you owe anything (am fairly sure if the card is completely clear they will not charge you, hopefully someone can verify this...).
You will have had notification in one of your bill inserts / change to T&C forms - do you read all of these fully ?

rsykes2000

Just had a search for it, and it appears this started on or around the middle of November last year, so you would have been notified a month earlier I would expect.

YorkshireBoy

It's 'residual' interest and will continue to be applied until you pay two successive statements in full by the due date (or unless you overpay slightly to create a positive balance).

I don't remember when the 50p charge was introduced (Egg's secure messages are automatically deleted after 90 days), but I do remember being notified of the change at the time.

You may wish to check Egg have a valid e-mail address for you (and check your secure messages more frequently ).

NetalBeattie

The same thing happened to me - I got a £0.50 charge to my Egg Card. I contacted Egg and they say this happens if you pay off your balance transfer or cash advance in full. I had made a cash advance, so it must have been for that.

They said this has been the case since they introduced the new terms and conditions in November 2007.

tacanyo

I've just noticed this charge on my last two statements. I clear my statement every month so it must be a new annual charge.

I've been a customer for about 5 or 6 years but will cut up mine and the wife's as soon as I get a my new Nationwide card.

benf90

tacanyo wrote: »

I've just noticed this charge on my last two statements. I clear my statement every month so it must be a new annual charge.

I've been a customer for about 5 or 6 years but will cut up mine and the wife's as soon as I get a my new Nationwide card.

It's not a new annual charge. It's only applied to your account if interest has accrued for that month and if the interest is less than 50p.

If you clear the balance in full on time every month then to have interest accruing means you will most likely have made a cash advance. You may not have done this knowingly, some transactions are treated as cash advances even though you haven't physically taken money out of an ATM.

If you have cleared the balance in full time on time for 2 consecutive months then you won't get charged anymore interest (unless you make another cash advance etc).

Probably best to get in touch with them and ask which transaction has been treated as a cash advance so you don't use a credit card for that type of transaction again.

tacanyo

Your correct benf90. I sent a message to egg and it turns out Mrs Tacanyo made a cash withdrawal in Spain:mad:. It would be so much clearer if Egg just said "Cash advance fee".

Anyway I must warn Mrs Tacanyo again about which cards she uses.:D

Jeluidonne

I have just noticed these charges on my account which is paid off every month by DD and yet egg have charge me 50 pence for at least 4 months. I rang them and was told today that it was an error on their part and that they will refund the £2 in 3-5 working days, I will be looking out for this!!! If you have been charged this 50 p minimum charge then ring them up and if you can get beyond Mr Voice recognition then ask for a refund.:eek: