Capital One axing cashback for some, cuts cashback rates for others

Herbalus

1961templar wrote: »

Well done EU, you have just cost me money!

Some retailers and the majority of holiday companies charge credit card users a surcharge, typically 2.5%. When paying for my holiday I usually use a credit card for security and the cashback I used to get helped mitigate the surcharge. I seriously doubt that the surcharges will be reduced despite the reduction in interchange fees.

Don't expect it to be instantaneous, but with the highly publicized limits of 0.3% might just mean that nobody can afford to get away with charging 2.5% for paying by credit card.

Wasn't there recent regulation about companies not being allowed to charge more than it cost them for credit card transactions? (edit - link from the guardian detailing the surchage bans here) The difficulty with that was nobody quite knew how much it cost each retailer per transaction. A limit of 0.3% means I can't see how a retailer could justify a surcharge more than that.

sweetdaisy

pen1 wrote: »

I think mine was originally a World Mastercard.

In any event, I currently receive a flat 1% cashback (no annual fee).

My letter-received today- advises that it will be reduced to 0.5% on 1st June and cashback will continue to be credited in January.

I have received a letter today stating that from 1st June 2015 I will no longer earn any cashback . I've got an Aspire World card and had it for 3.5 years.

Guess I'll be looking to apply for a card elsewhere as I use it for every single purchase. I pay the balance in full each month and keep the payments in the current account to offset against the mortgage. I earned £200+ in cashback this year (paid in January).

[Deleted User]

sweetdaisy wrote: »

I have received a letter today stating that from 1st June 2015 I will no longer earn any cashback . I've got an Aspire World card and had it for 3.5 years.

Guess I'll be looking to apply for a card elsewhere as I use it for every single purchase. I pay the balance in full each month and keep the payments in the current account to offset against the mortgage. I earned £200+ in cashback this year (paid in January).

I too received my letter today I shall use it up until it stops then once I have used up the cash back I get I shall use a different card I have had this card for several years and used it as a debit card ,Paying the balance every month, but there will be no benefit for me to keep using it so it will be time to move on to another company and different card.I still have my Tsb/Lloyds card which I have had for almost 30 years so I may go back to using that one

Cameron1590_2

Hi all,

Just to say after hearing about capital one scrapping there cash back cards and having not received any letter from them I decided to send them a secure message.

They replied to advise me that my card (capital one extra) which offers 0.5% and a 10 pound bonus for paying on time is not being axed.

Not sure how long that will be for but seems a little bit more reassuring that it won't be effected, time will tell .

fiendishlyclever

I got my letter telling me that the cashback is coming to an end today. I've had my card for over 8 years so have got used to my cashback. I could move my spending to my dormant Halifax clarity card or my Nationwide card for 0.5% I guess

Biggles

What does the EU limit of 0.3% actually refer to? The CC companies don't charge retailers, it's the intermediary banks that charge them - is the 0.3% limit on what the CC cos charge the banks, the bank charge the retailers, or the total of the two?

A retailer I spoke to is dubious of actually seeing any net improvement at his end.

ricky_v

Had the letter stating that the CB on the 4% Luma card is ending at the end of May. No letter regarding the 0.5% + £10/year card.

IMO with the exception of amex you might as well slow stooz and shove the money in a 6% reg saver.

The EU are so financially inept its unbelievable!

Well their own accounts hasn't been signed off by auditors for many years:rotfl:

redux

ricky_v wrote: »

Well their own accounts hasn't been signed off by auditors for many years:rotfl:

Apart from being off-topic, this is untrue.

The accounts have been signed off every year in the recent period of 2007-2013.

The level of errors is due to national governments rather than the EU, and the UK happens to have a higher level of fraud and error in its accounts than the EU as a whole.

myth123

I have not received any notification regarding my Luma 4% yet but I am expecting it any day now. I'll just stick to my MBNA Amex paying at 1% if it ends up going, it was good while it lasted!

hollie.weimeraner

I have used a Capital 1 credit card that pays 1% cashback for years now. No sign of any letter so hopefully I'm safe for now.

I regularly get £250 to £300 back every January/February so will be very disappointed if they withdraw it