Creation Card - APR Hike

fozmcfc

Overall APR's only matter of course if you don't pay in full.

In Izools case, it looks like a case of just doing it for no good reason, then they feel like it.

I agree that APR increases for customers who go over their limit, or are struggling to meet minimum payments, doesn't help.

I think a better penalty would be a 3 strike rule, If you go over 3 times or fail to pay the minimum 3 times, then the card is withdrawn/closed from the customer and paid back at the current APR.

That way charges don't get out of hand and customers don't have the ability to continue using a product, that they clearly can no longer afford to service.

izools

Maestro. wrote: »

a lender telling me they are going to increase my APR would be a fast track to losing a customer.

Well that's exactly what will be happening here!

jo-bo

I've got one of those cards, not used since I bt on it but kept in case of any repeat offers, I'm now waiting to see if I get the same letter. In any case I'll not close as I don't pay interest to them anyway, it's a bit like my aqua card in my eyes.

Maestro.

fozmcfc wrote: »

I think a better penalty would be a 3 strike rule, If you go over 3 times or fail to pay the minimum 3 times, then the card is withdrawn/closed from the customer and paid back at the current APR.

That way charges don't get out of hand and customers don't have the ability to continue using a product, that they clearly can no longer afford to service.

Agreed 100%, I was actually going to say something to this tune myself. Can't see why it's not yet law?! Irresponsible lending does go hand in hand with irresponsible borrowing...