Egg Policy Change ?

UK007BullDog

I wanted to do a Balance transfer to an Egg card but not too sure now if I should even bother and apply for a card.

What do you say? I dont want them to take away the 0% from me half way through the deal.

ashbart

My OH and I got the same letters from Egg yesterday and I am so relieved to hear that other people are in the same boat. I am absolutely fuming at Egg - how they have portrayed us in the media is sickening. My OH and I have excellent credit ratings and never miss payments. We always pay over the minimum balance. I am disgusted at the way this has been dealt with and I'm eager to see how Egg will respond (if they do) on Monday.

rolf

I wonder how Citi shareholders feel being basically lied to by Citi about getting rid of customers on high risk profiles when in fact is is the reverse?

Halloway

Clariman wrote: »

Egg PR & Media have just sent me a revised statement. Full details posted here on stoozing site.

Clearly the damage limitation exercise has begun. As though emphasizing the fact that 93% of customers are not affected makes an iota of difference.

I've worked in customer and technical support for many years and I have to say that whomsoever authorized the original communication should be thinking about a new career because Egg have handled this issue about as badly as they could have done.

MoneyMadness_2

My guess is that it was a decision that was made by multiple people who did not consider the bad reaction or somehow though that those with good credit wouldn't question it. This is the worst case of judgement I've heard in a long long time. It will be interesting if there is a response from Egg. I hope the press really hound them for an answer.

trisontana

It just shows the power of the Internet and of boards like this. I wonder what Martin has to say about this whole saga?

Clariman

trisontana wrote: »

I see there is no mention of this :- "It said customers were chosen if their credit profile had deteriorated since they had joined Egg" taken from the original press-statement. Are they now saying that it's not just customers with a poor credit-record that are being targeted?

The email was marked "urgent update" so it clearly is a damage limitation exercise. As you have said, they have removed the bit about customers credit profiles deteriorating.

Clariman

Psiloman

New BBC Story...we have power!

http://news.bbc.co.uk/1/hi/business/7224268.stm

Dont you just love this statement by Egg:
"We can certainly understand the concerns, but even if people are up-to-date with repayments, they are people we decided we no longer wish to lend money to regardless of their status."

jrawle

It seems to me that Egg are withdrawing cards from two groups of people:

1. Those with poor credit ratings, who are over their limit, who aren't making the minimum payments, etc.
2. People with good credit ratings, who pay off their balance in full each month

I reckon this could have to do with the capping of penalty fees at £12. Credit card companies no longer make so much money out of these fees. The result is the above two groups of people no longer having access to a credit card.

So you could say this is a result of the campaign by the likes of MoneySavingExpert to fight penalty fees. Credit card fees were cut, and now this happens. The next thing is, MoneySavingExpert and others are fighting for bank charges to be scrapped. By analogy with the Egg credit card, the result will be no bank accounts for people with poor credit ratings, and monthly fees for those who never pay interest.

Savings_Dave

Just seen Martin on ITN News regarding the Egg fiasco - '2008 is the year consumers bite back' (something along those lines)

I don't own an Egg card or anything, but I can understand why some honest people are gonna be really peeved off :mad: read some of the resposnes on the BBC article

This has arisen due to the selling of Egg by Prudential to Citigroup...http://news.bbc.co.uk/1/hi/business/6309731.stm I think perhaps the decision makers may well end up having egg on their faces (sorry had to say it)...obviously trying to cut their loses by ditching their riskier customers? They brainwash you with guinea pig advertising, change hands, then tell you we don't want you anymore...:rolleyes:

It seems that if we try to challenge these institutions (e.g. via claiming back fees) they somehow bite back...