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Interest rate rises-the great untruth
roythebus
Posts: 7 Forumite
in Credit cards
I've just received my latest Barclaycard statement, rate 12.9%, and was informed that from next month the rate will rise to 19.8%! You may think it's only a 5% rise, but it is actually a 38.75% rise or thereabouts.
I phoned their number and told this to the call centre girl who said the rise was "only" 5%, but she could not understand how I got to that figure!
5% of 12.9% is 38.75%.
I was put onto a "supervisor" who then agreed to reduce the rate to "only" 14.9%, a rise of only 15.5%!
Similarly, when the mortgage rate increased by "only" .5%, that was an increase of 20%!
Why oh why hasn't someone picked up on the fact that these rises of "only" x% is actually an much bigger increase?
I phoned their number and told this to the call centre girl who said the rise was "only" 5%, but she could not understand how I got to that figure!
5% of 12.9% is 38.75%.
I was put onto a "supervisor" who then agreed to reduce the rate to "only" 14.9%, a rise of only 15.5%!
Similarly, when the mortgage rate increased by "only" .5%, that was an increase of 20%!
Why oh why hasn't someone picked up on the fact that these rises of "only" x% is actually an much bigger increase?
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Comments
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I've just received my latest Barclaycard statement, rate 12.9%, and was informed that from next month the rate will rise to 19.8%! You may think it's only a 5% rise, but it is actually a 38.75% rise or thereabouts.
LOL :rotfl:
Firstly, your rise has gone up by 6.9 % points, not 5% !! - so , this is a 53.48% increase ...I was put onto a "supervisor" who then agreed to reduce the rate to "only" 14.9%, a rise of only 15.5%!
Similarly, when the mortgage rate increased by "only" .5%, that was an increase of 20%!
Why oh why hasn't someone picked up on the fact that these rises of "only" x% is actually an much bigger increase?
Other than contacting the companies and threating to leave them unles a smaller APR is given, theres not much you can do about it....other than actually leaving
Was you given a reason for the APR increase??Proud To Be Dealing With My Debts - 1420 Days To Go!LBM: £103,592.98 / Currently £78,500.08 - Down 24.22% / Mortgage: £92,800.00 / Loan: £17,284.21 / Overdraft: £450.09 / C/Card 0%(October 08): £5,601.54 / C/Card 0% (January 09): £1075.22 / Child Care: £137.80
Share Investments: £51,390.74 / Money Owed From GS: £5,812.610 -
Ive just had the same problem gone from 13.9% to 19.9%. immediatly called them and was told it was because
a) I have acted badly on other accounts. NO I HAVE NOT!!!
b) All customers have had increases. Seems to be likely, but WHY!
c) Base rates have risen recently. Not buy 5% in my knowledge.
I informed the woman I would be transferring my balance to another card. Apparently there is nothing she can do about it.0
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