Vanquis Nightmare !

SnowTiger

mrclear wrote: »

in the above example
the minimum payment if paid like mine was several days before the date actually - the minimum payment is not enough. Now that is my gripe. When i look at the above statement if i pay the fiver off say on 4 dec i have cleared the minimum payment. BUt when the statement comes out on 14th any interest charges will be immediately charged against the card and therefore the minimum payment isn't enough. So it charges the card and if there isn't enough credit on it it goes into default charges etc. So back to me point that there should be a warning at least that on that 14 dec statement day it is a charging you card day so forget the minimum it is not enough if you are close to the limit. As i say the guy did feel this was not right as there had been similar calls..

It appears you were running close to your limit.

Had you put additional spending on the card since your statement?

You mentioned that the card was intended for credit credit building purposes. If that's the case, why were you faffing around paying the minimum amount?

mrclear

You mentioned that the card was intended for credit credit building purposes. If that's the case, why were you faffing around paying the minimum amount?
well the road to hell is paved with good intentions !
No i hadn't put extra spending on since the statement.
Thanks for everyones advice on this. TBH i really have had it with cards. I mean for 4 years i didn't have any other than my prepaid paypall and boy was i free - strange you realise it when its slipping away - and i realise it now with all this kerfuffle its best left alone. As mentioned i will pay it off with my next income boost from my work . I still stand by my point that it should be made clearer and its not the card ccompanies that need defending its the uninitiated - those who throguh no wrong inteention fall foul to all these crafted ways they operate. I really believe something should be done as i say not fro me -hey they refunded me and even admitted it was not done well - but i feel an obligation now i have experienced this , to help others. After all i am in a position now having used this credit which will multiply what was borrowed 10 fold over next 14 days with my emailing to my customers who are thankfully awaiting my new release. I could say i'm alright Jack but no I will still forward my complaints albeit in a more informed manner ! So thanks again everyone

Anthorn

On the statement Vanquis provide the estimated interest which will be added if you don't pay off the full amount. It could be that your minimum payment will not be enough to pay the interest and so you will be pushed over limit if your balance is close to the limit. This can happen with any credit card depending on the percentage of the balance which is the minimum payment.

This problem is well known and in U.S.A. by law the minimum payment must at least cover the interest and other charges. But we don't have such a law here in the U.K.

mrclear

ah Anthorn that does make sense. The USA have it right. I just knew there was something not right with all this. Now i am sure we used to have it here. Years ago i used to cover minimum amount and i am sure that covered the interest and other charges like in the USA today. I do find this encouraging and will with this added fact do the little i can to encourage the powers that be to at least be told if nothing else. Now this is a case where we should certainly be following the USA Thanks Paul

fozmcfc

Mrclear, I'm afraid you really don't have a case and you will be wasting your time with any complaint.

HOWEVER, that isn't to say, that card companies couldn't do more in these circumstances and perhaps a change in the law could assist customers as below.

Egg was one company, who if you used the card during the month and the amount of interest added at the new statement date, meant you going over the limit, they would let you know.

So for instance, I had a £4000 limit, I was up to £3940, I made a purchase of £60, thinking ok, by the time my £50 minimum payment comes out, I'll be on £3950 + interest. But the interest on the card added was going to be over £60, because I had a large amount on cash withdrawals.

Egg sent me an email and a text, along the lines of.. Please note that due to recent account activity, if you only pay the minimum payment, with interest added to your next statement, you will be over your agreed credit limit. You need to make a payment of £xx.xx in addition to the minimum payment to ensure you stay within your agreed limit.

I'm not sure any credit company does such a thing these days.

mrclear

thank you yes well done Egg! It does show it can be done and does beg the question why not. I suppose the answer is pretty obvious - i mean look they could easily in a few minutes build this into the system to alert people. Imagine like yourself fozmcfc the number of people who can accidentally miscalculate..this is what they are counting on and count on they will ! I have no case issue with the card company. It is a principle an important one and i think really a principle of openness and fairness . It is good to communicate like Egg did when they see a shortfall. The fact that the USA does this Egg does or did this shows there is a need for it and that i am right with this whatever flea in the ear i have received from some comments- ok deserved mostly - but on this point of communicating this information which can be done as shown clearly with Egg and in the USA on that point i am correct and will pursue this sending to various bodies who might be able to have influence . And surely card companies they don't have to wait for a new law to implement it . In fact it would be great publicity - the caring card company - i an see it in lights now !! ' stress free with ccc. Well its stretching the truth a bit but you get the idea !

fozmcfc

I was greatful to Egg for doing that, as ultimately, I made a £500 payment as I was pretty shocked I was going to be over and damage my credit status.

It was pretty much one of the reasons why I'm now debt free. Though ironically, I transferred the rest of the Egg card balance to a 0% deal elsewhere, as part of the debt free process.

They were quite unique in several ways, other things they did.

Credit agreements could be signed online without paperwork needing to be sent and returned to them.

And when I applied for a second loan from them, they needed minimum details, because my details hadn't changed since the first loan and everything again was approved and signed online.

I don't necessarily agree with people, who haven't read and understood the T&C's, but equally financial companies, can do more to prevent issues sometimes.

mrclear

thanks Yes hopefully there will be changes. .It would be nice to add just a little TLC to the T&C .

Heffi1

I think it would be a great idea to get a notice to say your payment is not going to be enough. But, the card companies won't willingly do this for one big reason. All of the £12 late payment charges and extra interest will not be gained by them.

It is a simple case of they make money doing it this way, so will not stop unless forced to do so.

mrclear

Yes you are spot on Heffil. I also think they will have to be forced to do it unfortunately. I am keeping my powder dry and honestly i will do what i can when i can figure out how who where to target but i really am going to give it a go . The fact Egg did warn customers -The whole of the USA does what i want ie the minimum payment includes interest all charges etc in one figure - you would think there would be at least a little leverage there in getting things moving in the right direction. One of my customers is one of the Directors in the World Bank in the US. Maybe i will get some advice from him- got to start somewhere !