We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Can 0% be withdrawn without an agreement breach?
T-G-C
Posts: 591 Forumite
in Credit cards
Hello,
The Bank of England have increased the UK’s base interest rate, which means that borrowers could increase their APR.
Thankfully, I’ve cleared my balance back to £0 with Vanquis and I’ll be keeping it empty for the months to come, ensuring that I do not get stung with higher borrowing rates than the 59.9% APR I’m already accompanied with.
I have a 0% deal until February 2018 with Capital One and another 0% deal with Aqua until around April 2018.
Can those two providers legally have the right to cancel a 0% rate even if I stick to the credit agreement terms and make payments on-time? I do not want to be stung with a high interest rate on my balance with them, so if this could happen because of the UK’s interest hike, I’d like to pay off my balance ASAP.
Your advice would be great!
The Bank of England have increased the UK’s base interest rate, which means that borrowers could increase their APR.
Thankfully, I’ve cleared my balance back to £0 with Vanquis and I’ll be keeping it empty for the months to come, ensuring that I do not get stung with higher borrowing rates than the 59.9% APR I’m already accompanied with.
I have a 0% deal until February 2018 with Capital One and another 0% deal with Aqua until around April 2018.
Can those two providers legally have the right to cancel a 0% rate even if I stick to the credit agreement terms and make payments on-time? I do not want to be stung with a high interest rate on my balance with them, so if this could happen because of the UK’s interest hike, I’d like to pay off my balance ASAP.
Your advice would be great!
Advice provided from this account does not consist of any professional knowledge. For professional debt advice, please contact either National Debtline or StepChange. Advice may consist of personal experience, opinion and/or informational sources.
0
Comments
-
The answer is almost certainly no.
In theory you'd have to read your contract, it may well have a clause that says your interest rate is linked to base rate, however the 0% deals are a separate issue and are for a stated rate for a stated term.0 -
No, 0% deals are promotional rates that override your standard APR.
However, they can put the APR of your cards up once the 0% deals expire, if they so wish.
In debt and looking for help? Look here for the MSE Debt Help Guide.
Also, If you need any free and impartial debt advice, the National Debtline, Stepchange, and the CAB can help.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.5K Banking & Borrowing
- 253.7K Reduce Debt & Boost Income
- 454.5K Spending & Discounts
- 245.5K Work, Benefits & Business
- 601.4K Mortgages, Homes & Bills
- 177.6K Life & Family
- 259.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards