EGG Credit Cards

poorandindenial

Tiglet wrote: »

I heard in an interview on radio 5Live news at noon yesterday that many credit card companies are reducing the credit limits for existing card holders

How funny after they have been increasing our limits without us requesting it:rotfl:

One of my cards started out with a limit of £7,500 and within a year they had increased it to £12,500 in 3-4 month increments.

I was surprised by the Egg Card withdrawl although if I think about it logically it makes sense in thr current economic climate. I haven't checked my post this morning but it all looks OK on my Egg account online (mind you if they take it away it will save me from cancelling it in 4 months when I have paid it off :T).

fiscalfreckles

gilligansyle wrote: »

There is a big debate about this on the credit card board. It seems that the news may have got it a bit wrong and a lot of the people who are having their cards cancelled are those who don't earn EGG any money. They are all a bit miffed as it implies they are bad borrowers. Most of the people on there have decent credit records.

Link is here:
http://forums.moneysavingexpert.com/showthread.html?t=717227

I'll wait and see if I get a letter, never missed a payment and pay over the minimum.

This is a worrying trend, however.

A friend was recently turned down for a new CCard (sorry, can't remember which one), he has a high income and has always paid off his monthly balance in full - the company didn't want to know. Meanwhile, his wife, a mature student with very low income was granted one.

My initial reaction to all this was, well stuff Egg, plenty more companies to switch to, but it seems that being efficient with your spending and a non-earner for the CC companies will become increasingly problematic.

hypno06

Well, as a customer of Egg currently paying 26% APR on about £8000 of credit card debt, it will be interesting to see if I am cancelled or not......I suspect not, because they earn LOADS from us, sadly.

If they are simply stopping new transactions then I would welcome that, personally, so long as they do not make demands of "pay the full amount within 30 days or we send the lovely boys from Capquest round".

gilligansyle

hypno06 wrote: »

Well, as a customer of Egg currently paying 26% APR on about £8000 of credit card debt, it will be interesting to see if I am cancelled or not......I suspect not, because they earn LOADS from us, sadly.

If they are simply stopping new transactions then I would welcome that, personally, so long as they do not make demands of "pay the full amount within 30 days or we send the lovely boys from Capquest round".

Same here, they earn plenty from me

errandboy

Man in all honesty i was thinking of signing up to egg and transferring my balances. I changed to another card; this was early this week before i heard the news today :eek:

vincent--vegas

I have £3000 debt on credit card egg VISA at the moment, made every monthy payment, then last week, needed cash asap and only had egg card on me, after this it appears I received the letter today.

I also sent an e-mail about 2 weeks ago complaining that they never treat old customer as good as new - its quite funny I've received this letter yesterday. To be honest with you, I'm totally relieved from readings other comments, my credit record CANNOT be bad, so this really is very odd.

I think they're trying to get rid of customer who:
a. don't make them any money
b. are a little troublesome at times as they ask questions

My problem is that with £3000 outstanding this account IS making money for them, whatever little that is, it just seems a pretty shambolic mess if you ask me!

Also i don't really see the benefit of shutting the accounts? Surely whatever happens they're bound to make money out of everyone in the end? No?

KiwiEssexGirl

Yes - interesting. I would have thought I would fall into their category as I am over limit and credit rating is 'needs improving' according to one of the links from this site. But I haven't had my card cancelled. Ironic because I actually rang them on Thursday to ask them if I could close the card and transfer the debt to a loan to help me pay it off. The dept was too busy t ospeak to me and I haven't been called back yet. So maybe the profit motive is key - they clearly make money of me at present...

Burlesque_Babe

It seems they are being a bit naughty saying they are withdrawing the cards from high risk customers - plenty of soon be be former Egg customers have now hit back to say they have excellent records, nil balances, pay it off in full each month, don't use it often and THEY are having theirs withdrawn.

Seems it is whoever isn't making them any money who is being targeted.

meerkat2007

Maybe Egg - or rather, Citibank - has a different definition of "high-risk". Most of us, I think, would define "high-risk" to be the risk of not having the debt paid off, and being out of pocket through not receiving repayment of money lent.

Maybe risk in Citibank's dictionary is defined as the risk of not making any/sufficient profit from the customer.

GreyPilgrim

I also kind of feel sorry for the call centre staff, who are going to have to bear the brunt of customer anger on this one. Customers tend to think the guys answering the phone have something to do with board level decisions such as this one.

Treat them gently when you complain...I know some of them can be arrogant sometimes but it's always nice to differentiate between the soulless profit-driven parasites at the top, and the guys dealing with the public