Banks obliged to notify end of 0% period? 23 September 2015 at 7:29AM in Stoozing: free cash from credit cards 6 replies 2.3K views

ottoline

Just wondering whether credit card issuing companies are legally obliged to notify the cardholder that the 0% rate period is coming to an end. Do they have to tell me at which date the 0% interest rate on my will revert to the standard rate? I have been keeping an eye on the statements themselves and there is no mention in the small print of the fact that I am on 0% or of when this will end. Obviously I can ring the bank up to find out but I just wondered whether it is my responsibility to keep an eye on this or whether the bank is also obliged to inform me of the change of rate?

Any thoughts, Forum brains?

molerat

Don't know the answer but both my MBNA and Santander statements clearly show the end of offer dates.

mrs_T

Statements tell you your expected interest for the next month but often that is the only indication. I went over by a month with NatWest but when I phoned to clear the balance they wrote off the interest.

ottoline

Thanks for this. Have just contacted Lloyds, which accepted that I should have been notified and has allowed me to clear the existing balance minus the interest that I was wrongly charged. More than £110 saved there!

shortcrust

Sounds like you've had "a good customer experience", but don't rely on the same happening in the future. They don't have to notify you as they're acting in accordance with the agreement you made with them. The interest wasn't wrongly charged and the refund will have been a goodwill gesture.

Is it your responsibility to keep an eye on this? Of course it is.

20aday

My Interest Free period ended on my Lloyds Choice Rewards card back in August; on the PDF statement (for July) there was this message:

Retail promotion expiry message
Please note your rate of interest is 0.00% p.a. (variable) for Purchases. From 23 Aug 2015 your rate will be 23.95% p.a (variable) for Purchases.

Consumerist

shortcrust wrote: »

. . . Is it your responsibility to keep an eye on this? Of course it is.

Agreed, in principle.

I think the problem for the banks is that if a complaint goes to the Ombudsman, their decision is based on "best practice" in the industry and not just the Ts&Cs.