MSE News: Millions of Barclaycard and Lloyds credit card customers face higher intere 20 November 2015 at 2:23PM in Credit Cards 9 replies 1.6K views

Former_MSE_Helen

Barclaycard and Lloyds' credit card customers will have their interest rates linked to the Bank of England base rate...

Read the full story:

Millions of Barclaycard and Lloyds credit card customers face higher interest rates




Click reply below to discuss. If you haven’t already, join the forum to reply. If you aren’t sure how it all works, read our New to Forum? Intro Guide.

jonesMUFCforever

This is old news!
Mine was advised months ago.
No rise in interest rate for me - not until base rate increases at least.

MABLE

Mine on my Avios card is staying at 11.95 percent for purchases and cash advances.

However never draw cash on cards and pay in full every month.

20aday

Old news for me too-Lloyds Bank notified me of the change back in July of this year.

Ben8282

jonesMUFCforever wrote: »

This is old news!
Mine was advised months ago.
No rise in interest rate for me - not until base rate increases at least.

So was mine. In fact I would say it was years ago now. Have not been advised of any interest rate increase though.

No_6

Who pays interest on a CC card if they use them wisely ?

chuckley

Barclaycard told me I'd pay an extra 21p per £1000

NoNoDrama

Why are they doing this? Adding base rate to existing interest rate? Is it forced by the government or are they just rinsing extra money out of people?

SnowTiger

chuckley wrote: »

Barclaycard told me I'd pay an extra 21p per £1000

For every 0.25% the BoE Base Rate rises.

As an example, let's say the Bank of England Base Rate goes up by 0.25%. You'll then pay 21p a month more in interest for every £1,000 of your balance.

SnowTiger

NoNoDrama wrote: »

Why are they doing this? Adding base rate to existing interest rate? Is it forced by the government or are they just rinsing extra money out of people?

They're not adding the Base Rate.

They're splitting the APR in two. Someone whose APR is currently 18.9% will have a personal rate of 18.4% plus the BoE rate of 0.5%.