MBNA Interest Rates

DaveJH

Just had a very interesting chat with MBNA trying to get my Interest Rate reduced.


Apparently there in nothing in there system to allow interest rates to be reduced! Obviously there is to increase them though.


I asked to speak to customer loyalty, as I have held a card with them for near on 18 years and it is always in good order. Guess what.... that department ceased to exist in 2012.


Has anyone had any luck in getting an MBNA Interest Rate reduced? I have logged an official complaint, which they have said they will respond to within 56 days.

grumbler

MBNA are more known for BT offers for existing customers that makes me thinking that their business model is "Bait and switch". Unless your balance is zero, IMO they are unlikely to reduce your rate.
MSE article: Existing custs credit card deals:

Official Response: Check your online account for existing customer offers.

Unoffical Existing Customer Balance Transfers thread:

Bilbobagins wrote: »

Came off MBNA's 0% Balance transfer rate a few months ago and onto their standard APR 26.4. Called MBNA yesterday to ask if they could offer anything less before I moved the debt and the answer was a big fat 'NO'. Having told them i would be transferring and closing the account they still couldn't care less. So much for being a good customer for years!!

Very disappointed I have to say as their APR is ridiculous.:(

Loyalty counts for nothing nowadays. Just vote with your feet if you can get a better rate elsewhere. With a sizable balance consider a long-term low rate card.

chattychappy

I'm always getting BT/money transfers offers from MBNA, whether or not I have a balance on the card at the time. In recent times the fee has always been 5% so they are pretty poor value compared with what's out there for new customers.

I used to get 0% offers on purchases too, but they dried up. My limit with MBNA is 22K - the highest of any of my cards. I keep it because I'm on a generous deal for BMI (Avios) miles and for an emergency the limit could be useful.

My interest rate has crept up from about 13% APR to 26% APR over the years, but it doesn't matter as I don't pay standard interest on it.

OP: if you are paying standard interest, there is little incentive for MBNA to give you a reduction. I don't see this as a loyalty issue, it's just the business model.

MABLE

chattychappy wrote: »

I'm always getting BT/money transfers offers from MBNA, whether or not I have a balance on the card at the time. In recent times the fee has always been 5% so they are pretty poor value compared with what's out there for new customers.

I used to get 0% offers on purchases too, but they dried up. My limit with MBNA is 22K - the highest of any of my cards. I keep it because I'm on a generous deal for BMI (Avios) miles and for an emergency the limit could be useful.

My interest rate has crept up from about 13% APR to 26% APR over the years, but it doesn't matter as I don't pay standard interest on it.

OP: if you are paying standard interest, there is little incentive for MBNA to give you a reduction. I don't see this as a loyalty issue, it's just the business model.

No doubt if you paid by dd like myself you would enjoy far better deals from MBNA. At present I have offers of 3% for balance transfers and 3.5% for transfer to bank account and for 12 months. Also my apr for standard purchases is 11.9%.

However BC offer me far better deals.

chattychappy

MABLE wrote: »

No doubt if you paid by dd like myself you would enjoy far better deals from MBNA.

Ah.. yeah. "No doubt" :D

MABLE

chattychappy wrote: »

Ah.. yeah. "No doubt" :D

Of course it may well be in the eyes of MBNA you are just a greater financial risk to say someone like myself.

Pure speculation of course!:D

chattychappy

MABLE wrote: »

Pure speculation of course!:D

No doubt about that!

MABLE

chattychappy wrote: »

No doubt about that!

Its nice to see we agree on something.

fozmcfc

My situation is pretty much the same as chattychappy.

A constant offer on my account of 4.5% on balance transfers and a 5% on money transfers to bank account.

I never pay interest either, but my APR has been 16.9% since account opening in 2009. I have always paid by DD, so definitely no connection to non DD and APR increase, although I'm sure that was a tongue in cheek comment.

I'd ditch and switch, if you can, definitely no loyalty to customers, as with all financial institutions. If you are paying interest on a high APR, you'll be a favourite customer of theirs, but it's a one way street.

YorkshireBoy

fozmcfc wrote: »

A constant offer on my account of 4.5% on balance transfers and a 5% on money transfers to bank account.

Haven't carried a balance for a couple of years now. Still a regular stream of 12-13 month 0% offers on both money transfers and balance transfers. And because it's a Virgin Atlantic card, the fee is still 2% for both.

Still can't make a stoozing profit though, even with a near £25K limit!

Don't know just off hand what the APR is. Don't care either as I never pay interest.

System

I get regular offers with a fee of between 2-5% for balance or money transfer deals.

I am currently using a 12month 0% purchase deal for flights.