Arrrgghh MBNA.....

Locana

Hi

Just thought I'd let you know...

Had a balance of £2400 on my MBNA which at minimum 3% a month, my payment was around £72..

Was given £1000 and decided to pay it towards to MBNA debt and reduce my monthly min to around £42 for 6 months on the remaining balance of £1400 (am/was gonna continue to pay the original £72 to MBNA in about 6 months after having just received an unforseen bill thats just come my way)..

Just got my statement through to find that the minimum payment is... £72..

MBNA have decided to hike up my minimum percent to 5% :mad:

Grrrrrrrr.

Thanks for letting me rant!

YorkshireBoy

MBNA normally calculate their minimum payments as the LESSER of...

3% of the balance

or

BT fees + PPI + Interest + £5


Even if they raise your minimum payment to 5%, the second option will still be lower than the first...won't it?

Just out of interest, do you have PPI on the account?

Also, what's the interest rate?

Locana

Hi,

No PPI, and the interest rate is 29%. The balance is now £1400. I rang them and they said the minimum percent is now 5%.. I agree it is better, and I will be paying more towards the debt, but have just had a bill that I agreed to pay £30 a month for 6 months.. This would have been convenient as I was hoping to pay minimum on the MBNA for the next 6 months (at 3%)

Boo hoo. Thats now £30 out of my food bill.

Bismarck

Sorry to hear this...is there no way of shifting from that horrible interest rate?

Can I also assume you've tried your hardest at reducing through their loyalty/retentions department.....

Locana

Bismarck wrote: »

Sorry to hear this...is there no way of shifting from that horrible interest rate?

Can I also assume you've tried your hardest at reducing through their loyalty/retentions department.....

What do you mean by reducing through the loyalty dept?

Thank you!

YorkshireBoy

Locana wrote: »

What do you mean by reducing through the loyalty dept?

Tell them you're not happy about your APR, bearing in mind their 'typical' rate is 15.9% APR.

You could intimate you're prepared to transfer your balance away if they won't reduce it.

Obviously if you have a 'history' with MBNA, ie late/missed payments etc, they may know that it could be an idle threat due to potential damage on your credit report, but it has to be worth a try.

MBNA retentions can be contacted on 0800 783 1116 (although I seem to remember they're only open during office hours?).

Locana

Hello

I dont have any missed payments with MBNA, so I will certainly give that a try on Monday! I will let you know.. Thanks so much!!

Tom_Saunders

Get a card with someone else and transfer, why would anyone pay 29% unless they have a poor history or don't know what they are doing ?

29% ?

Locana

Tom_Saunders wrote: »

Get a card with someone else and transfer, why would anyone pay 29% unless they have a poor history or don't know what they are doing ?

29% ?

Because I do have poor credit history (as many of us on here do) and cannot get a credit card, otherwise I would be transfering. And it was a lower percent at first and they hiked it up. I am trying my best y'know and am learning. Why be judgemental, especially on this site?

lala27

Hi Locana

Please let me know the outcome of your conversation with MBNA, I am in a very similar position - paid £1600 off my balance (sold my car) which reduced the balance to £2300 and am now paying a min payment of £74 (a whopping £60 of which is interest!)

Going to try and ring them tonight but don't fancy my chances of getting them to lower the interest rate as my credit rating isn't great - any tips would be gratefully received!

Good luck!

Treadmill

Tell them you have just got a card with a big limit and will transfer the balance and close the account if they do not lower the APR, thats the best ploy.