MBNA Dirty trick :(

digital-one

Ive had my mbna card since around 2005, have never missed a payment, paid by direct debit the minimum monthly payment, this never really covered the interest so i usually added a further "top up payment" mid month, to compensate,
on the 4th april, i saw my balance was £1710 with a limit of merely 1800 so i duly paid £1000 into the account. Waited to make sure it went in and a couple of days ago it had, this morning i got up, and my gf told me the home contents needed sorting, so i checked online: £1151 available to spend 9.20am

I paid by credit card, no problems.

Then at 5 pm, decided to get a eurostar for the weekend, the card was declined - this was news to me, my account said 1800 credit limit, and now £781 to spend
by 6pm it said 700 credit limit and i was 318.49 pence OVER my limit.

Who on earth reduces a limit, BELOW whats already agreed, without warning anyone especially me, and then made me OVERDRAWN.

It cant be because of my credit, ive paid everything i owe for years, in fact i just got 5000 from the bank for a car, so that isnt possibly the reason.

What mostly has annoyed me is its put me overdrawn, no warning, im sure it breaches the banking code but 6,4 is certainly broken any detrimental change should have 30 days notice - and finding out my credit limit was REDUCED as soon as i paid 1000 does not seem sensible - if i can pay 1000 in a lump sum then surely it must be worked out i can pay the minium 71 quid it would have been.

jonesMUFCforever

From their point of view if they give you 30 days notice to reduce the limit be honest would you go out and max it whilst you could?

That is the reason it is done immediately without warning.

mdsremos

Smile bank (Co-operative) did the same thing. Paid off the £2,000.00 limit then within 24 hours received an email to say we have reduced your spending limit to £500.00!!!! Grab the cash and run system to me!!!

Dieselladuk

MBNA AND VIRGIN are on my hit list!

all i seem to hear is new customers only! sound like the nationwide advert! there seems to be no normality to any credit card company. if you pay them on time and in full they reduce ur limit or increase ur APR. if you have a huge debt with them they are happy to just get minimum payments. so what is the answer. just run up huge debt and pay minimum? no help to customers who look after there accounts!!!! think the FSA have to get involved at some point with all these credit card issues

Thomas_Crown

Dieselladuk wrote: »

MBNA AND VIRGIN are on my hit list!

Virgin credit cards are run by MBNA.

BenL

I wonder if Richard Branson minds MBNA dragging his companies reputation down?

I suppose he did it himself with the trains but there must be some brand tarnishing happening at the moment.

wishing4amoneytree

EXACTLY the same thing happened to me with MBNA. I always thought if you paid off your balance it should make you a good payer and therefore deserving of credit but NO! I paid 2,000 off mine ( limit was 5,000) next thing credit limit 200 quid!!!! 200!!! what use is that!!! I wouldnt mind but they also sent a letter saying we have reduced your credit limit due to the way you manage your account???? ( so they dont like you paying them!):mad:

dhassen

looks like you weren't making them any money wishing4amoneytree!

exel1966

This is nothing new. C/C companies can reduce your limit whenever they like without any agreement from the cardholder. It has been happening frequently over the past couple of years with many of the major card companies/banks. You could put it down to the 'credit crunch' and the card companies trying to reduce their risk, some might even say it's called beiing a more responsible lender, but I'm not so sure about that. The usual patter is that they'll review your limit again in 6 months, but no guarantees. There is very little you can do about it except complain and probably get nowhere or say 'up yours' and move to another company.

There are a multitude of threads on MSE about this subject.

digital-one

I have had words with MBNA, I called them, was transferred from department to department, eventually got through to a manager.

Thankfully its a free phone number - i dislike 0845 numbers, especially when they get MONEY for you calling them alone.

Its now sorted, my credit limit is rightfully restored, and i didnt have to pay the charges for being over as i wasnt technically over anything - it was indeed the 1000 i paid in a lump sum, apparently thats "unusual activity" I must admit i wasnt a friendly caller, I was kinda annoyed. I pointed out that shouldnt me repaying them increase my credit limit not reduce it - well no. Apparently MBNA computers flag amounts in AND out, and the computer decided my card was to be reviewed.

There advice if i dont normally make large purchases, if i go on holiday just let them know so it never happens again.

I got penalised for paying my debts lol. Im just gritting my teeth, im now paranoid after reading others experience i havent heard the last of this.

julesmum23

This is so similar to what has just happened to me.

First of all I was told I could not claim of the insurance I pay each month as I was employed and self employed, I complained and asked for my money back using the letter on this site.

Had a reply saying I agreed, wrote again stating whilst I agreed I was not told I would be unable to claim, eventually sorted with 2 days to make my claim due to 120 day limit.

I have a regular payment each month but last month for a reason I am still unsure why it was £3.63 short (only trans was cover plan) which from an estimated int of £7.98 went to over £150. I was first told tough I have to pay the late fee of £12 (fine I agree that 1 it was my fault) but the interest added.

Wrote a letter and still no reply.

Rang to enquire why my claim payment was taking so long and complain again about the unfair charges spoke to a very nice guy called Matt, anyway he took off the charges except late fee which I agreed was fair as I should of turned the statement over.

Paid of the amount I had owing as my 0% was due to finish this month, what with the claim etc going through I am today in credit of about £400, what do I find on my mat this morning but a letter saying due to the way I have run my account it is now reduced to £200.

I am not sure if it is because I claimed (I had an operation and was of work for 6 weeks, they paid out for only 30 days), I paid off the balance or what?

I rang them evening as I could not log in to the website and she could find no letters on my account but could see my limit is £200. Told her I was not bothered as once my aol points are used up I will not use it again. Been a stressful couple of months with them.