Barclaycard Customer Loyalty Offer

lynxptc

Just phoned Barclaycard to moan about my ridiculously high 19.9% interest rate and got transferred to the "customer loyalty" department who offered:

Option 1: A fixed rate of 11.9%

Option 2: 6.9% if I spend £50 a month on the card
13.9% if I spend £25 a month on the card
18.9% if I spend nothing

I went for the second option.

Was this the best one to go for?

Has anyone else had any similar offers from the "customer loyalty" department?

taless

How much do your normally keep your balance at?

And how much do you spend a month?

What is your regular payment habit - how much do you pay into the card each month?

If you let us know perhaps we could offer some advice here!

lynxptc

I put around £1000 a month on the card which is paid in full each time.

I'm not paying any interest I know, but having the flexibility of a low rate so you can leave a balance is nice and I just wanted to post it so other people could phone up and maybe get a similar offer?

Milarky

You should have taken the first option IMO. You already spend way over £50 and there are many bills and items which you can pay online that allow you to spend an amount you can specify - such as £50.

However it is far better to always carry on paying off in full and no interest. Suppose you spent £1000 last month (spread over the month) and then only paid off £950 of it on the due date? The 6.9% rate would get applied to the whole balance for most of the period - say an average of 40 days. That's 0.75% or £7.50* for a 'missed' payment of just £50

*And that's on their 'best' loyalty rate remember

taless

I thought lynxptc made a right choice! I'm sure he spends more than 50 a month - so if he ever needs to borrow with his credit card, he'll be paying 6.9% interest as opposed to 11.9% isnt it?