mbna 0% to 34.9%

suzannescorah

took out the mbna credit card with o% balance transfer deal, time was up earlier in the year and they put the apr up to 22%. just recieved a letter from them saying outting it up to 34.9% in new year. cant get a loan or cc transfer anywhere else, has anyone any ideas.

daveboy

I also have an MBNA card but have the fortunate fall back of moving it somewhere else.

In your situation I would contact them and ask them whether they can at least keep the rate at what it is now....there is another thread somewhere on this matter and I'm sure other users have phoned up and asked.

It's certainly worth trying.

suzannescorah

rang them and said cant do anything about the rate. thanks.

wursel

I was screwed by this as well - 14% to 29.9%. Their !!!!!!s.

philwantstobedebtfree

Hi

thanks for the heads up on this i transfered one of my balances to mbna via virgin on 0% if that is the way they are i am going to be sure that balance is gone before the term ends

Phil

suzannescorah

rang back to mbna,asked for name of lady on phone ,job position etc, said been on this website and FOS, said wanted to complain as not happy at all. she put me on hold then came back after speaking to her manager and said they can put apr to 15%. So very happy.

daveboy

I urge anyone in this position with MBNA (or any other card as if one starts to do it others then follow) to ring up and try.

Very good to hear you got it reduced. If at first you don't succeed (basically you get a pain in the bum answering your call), try a second or third time.

15% instead of 34.9% shows it's worth doing.

Firsttimebuyer_4

I had the same problem as the OP..... I also got mine reduced to the original rate. First time I phoned them I was told "no way"...second time I was a bit more prepared....

Read full story here: http://forums.moneysavingexpert.com/showthread.html?t=633993

Right.....

I phoned up MBNA again today and I was much more firm and had my points written down before hand.

First things first! The new rate applies to your current balance as well...not just new transactions...

Second thing! I stayed firm on the phone and they have decided to keep my rate at the old contract rate!!!! 14.9% YAAY (still by far the highest rate I have on any loan/card...my highest credit card apart from MBNA is 9.9%)

Here's how I did it:

I phoned the MBNA customer services number on 0800933 944.
Important here is that I was very polite...Extremly polite in fact and even "flirting" a bit with the woman on the phone (I'm a man ). I asked if the rate increase would apply to my outstanding balance or just new transactions to which she replied it would apply to all transactions.

I then asked her (still very polite) as to why I the rate was increased. She replied that it was due to an account review. I then went on to say that my account if managed very well, with no missed payments etc and that goes for all my credit cards/loans. She then said she would forward me to the "Rates and Fees" department (whatever that is). I asked for a direct phone number just incase they hung up for me. The direct number to this department is 0800 7831116. I didnt have to ring it though since she passed me on and after about 5 minutes I spoke to another lady.

This department in fact the "Card Services" department..... I went through the whole story again (as above) still being very polite. When she tfinished her speech about how this has been applied to my account due to a review, variable rate etc I played the following card:

In a firm (but still polite voice): "I feel that this does not represent fair customer treatment and the rate increase is punitive and selectively applied. So I would like to make a formal complaint......."then kept quiet.

Silence for a few seconds and she said "Can I put you on hold for a minute....?"
Couple of minutes later she said "I have just spoken to my manager and we have decided that we will keep your interest rate as the original 14.9% and we will send you a letter to confirm this". I then said "Thank you very much for this, so you will send me a written confirmation of our conversation?" She replied "Yes, you will receive this shortly". I ended "Thank you very much and have a Happy Christmas."

Now, I can only wait for the letter to arrive.....I will update you when I get it.

I had 1 more point written down incase they didnt back down..
In that case I will make a formal complaint to the FOS and ask for a Subject Access Request in order to see a copy of all data you hold on me. This will enable me and the FSO to understand why I have been selected for a rate increase. I will do so in writing.

Yaaaay!

FannyHill

Slightly different but I moved a balance from another CC to MBNA to get their zero interest on transfers. I seldom use this card but I put something on it inadvertantly for about £30 and it seems I'm paying interest on this £30 purchase from day one.I also think that even though I'm paying off the transfer balance at £100 per month none of the £30 will get paid until I've cleared the transfer balance so I'l be paying interest on the £30 purchase for months and months.

Am I correct ?


p.s.What is the FOS ?

Firsttimebuyer_4

FannyHill wrote: »

Slightly different but I moved a balance from another CC to MBNA to get their zero interest on transfers. I seldom use this card but I put something on it inadvertantly for about £30 and it seems I'm paying interest on this £30 purchase from day one.I also think that even though I'm paying off the transfer balance at £100 per month none of the £30 will get paid until I've cleared the transfer balance so I'l be paying interest on the £30 purchase for months and months.

Am I correct ?

p.s.What is the FOS ?

Unfortunately...yes. That's the way it works. Never ever spend on cards you are doing promotional balance transfers on. The way it works is that your payments goes towards the balance with the smallest interst rate (in your case thats the 0% balance transfer).


FOS is the Financial Ombudsman Services - http://www.financial-ombudsman.org.uk/

FannyHill

Many thanks.

Guess that's how they make their money getting interest every month on anything you buy with the card.

Suppose I could move the balance back to the other CC who are offering the 0% (with the 3% to transfer of course).