Marbles BIG Interest Rate Increases On The Way...

David555

I had the same on my Aqua card (also owned by the same company) from a scary 34.91% to 39.90%.

Bit odd I thought as the card is always cleared in full. Decided to keep it open for now as they often send me decent offers like 0% on balance transfers/money transfers for 6 months (3% fee) and due to the fact it's my oldest card.

Can't help but feel a tad offended though! Kinda expected a decrease in interest if anything after holding the card for almost 18 months run perfectly.

Nasqueron

David555 wrote: »

I had the same on my Aqua card (also owned by the same company) from a scary 34.91% to 39.90%.

Bit odd I thought as the card is always cleared in full. Decided to keep it open for now as they often send me decent offers like 0% on balance transfers/money transfers for 6 months (3% fee) and due to the fact it's my oldest card.

Can't help but feel a tad offended though! Kinda expected a decrease in interest if anything after holding the card for almost 18 months run perfectly.

Doesn't work like that, the idea is that you improve your rating and get higher rated cards and move out of sub-prime into prime e.g. cards with cashback or better limits

Superscrooge

David555 wrote: »

I had the same on my Aqua card (also owned by the same company) from a scary 34.91% to 39.90%.

Bit odd I thought as the card is always cleared in full. Decided to keep it open for now as they often send me decent offers like 0% on balance transfers/money transfers for 6 months (3% fee) and due to the fact it's my oldest card.

Can't help but feel a tad offended though! Kinda expected a decrease in interest if anything after holding the card for almost 18 months run perfectly.

If you always clear the balance in full. The interest rate is irrelevant.

David555

Yeah it's no big deal really. Just feels like a small kick in the teeth for paying in full, on time for 18 months and now we don't trust you as much, have a bump in interest which translates into we see you as a higher risk customer in a way.

I have a Halifax clarity with 18% ish rate. Just keeping Aqua open as it's my longest held account to show stability on my credit file while putting a few small transactions through on it each month.

Superscrooge

David555 wrote: »

Yeah it's no big deal really. Just feels like a small kick in the teeth for paying in full, on time for 18 months and now we don't trust you as much, have a bump in interest which translates into we see you as a higher risk customer in a way.

I understand what you are saying. I had a 0% BT card with Bank of Scotland and they reduced my credit limit a couple of times, presumably because they discovered I was stoozing large amounts on other 0% cards and regarded me as higher risk.

It was of no consequence as I don't spend on BT cards and just continued to make minimum payments.

Even though the decision will have been made by computer without any human intervention, you want to tell them 'Don't you trust me?'. 'Don't you know who I am?'

PixelPound

g-diddy wrote: »

The only other option is to cancel the account before the 15th April and will be charged at the exisiting rate of interest until the paid off.

Before others comment, I am fully aware the 29.94% of interest is already high, but accepted this when considering my history, but as this is improving the 9(ish)% rate hike has knocked my sideways! If was by 1-2% I maybe would accept it.

Some people seem to think the OP can pay this off in full, but just isn't. I read it as they are unable to pay it off in any one month but have not maxed it out and pay more than the minimum (no idea if the trend of their balance over time is declining or steady as O not been back). Their option really is to not use the card, cancel the account and pay it off at the old rate until paid off, and get a new card for ongoing purchases. I suppose it then depends how long the card provider will give them to pay it off.