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Egg Policy Change ?

5 Posts

in Credit cards
Just had a letter from Egg today (followed by an uninformative phone conversation). Theyre ending my use of my card with them, after 10? years based on "credit profile of this account"...
The problem is my credit rating from Experian is excellent, Ive never missed a payment with them and I pay off the debt each month....so wheres the problem?
The only thing I can think of is that they tell me this decision follows Citibanks takeover of Egg.
Could it be that Citibank are simply wanting to rid themselves of customers that do not earn them interest on their accounts?
Id be interested in any thoughts or similar experiences.
P
The problem is my credit rating from Experian is excellent, Ive never missed a payment with them and I pay off the debt each month....so wheres the problem?
The only thing I can think of is that they tell me this decision follows Citibanks takeover of Egg.
Could it be that Citibank are simply wanting to rid themselves of customers that do not earn them interest on their accounts?
Id be interested in any thoughts or similar experiences.
P
0
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Replies
Have you checked the other 2 credit reports.
It's unlikely to be honest that Egg have looked at them, but it's worth noting that you cannot get the whole picture from just one out of three.
Have you stoozed? taken cashback?
My guess is that they aren't making much money out of you.
Credit is a privilege not a right. They can choose who they want as customers.
There is a credit crunch underway so it could be that they are under intense scrutiny.
I also never pay interest and take cashback, so I'd be interested to see of this is more widespread.
Odd........
What do you mean?
I was under the impression that in order to improve my credit rating i should close empty cards. I don't want to use the card to get further into debt and if they can't do an offer on balance transfers what use is the card to me? Except temptation to use it and a negative impact on my credit rating.
I'm confused now!
You get an offer of a BT from another card provider, who charges a 2% (max £50) BT fee. You have 2 or 3 BT's to conduct, so each one will cost you £50 (if they're reasonably large BT's).
If you hold Egg Money, you can take advantage of the fee cap. ie, you can do the one BT (for £50) from Egg Money, thereby creating a positive balance on Egg Money from where you can settle your other cards fee-free.
And best of all, you only need the minimum £500 credit limit on Egg Money to achieve this so your credit rating is not unduly affected.
You may find these two Egg Money guides useful:
Egg Money Card - Stoozing Analysis
Egg Money Card - Conventional Use
Still gonna apply for Egg Money tho, as YB said, its a very useful card to have....
"Egg Banking to end customer agreements for part of credit card portfolio"
If the article is correct its affecting 20% of accounts
http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-22682709.htm
Regards
David