MBNA Attempt To Double Interest Rates (Again)

yorkshireman08

Just a warning that the MBNA are attempting to double the interest rate of their "loyal" customers again.

They did it with me last year and I got it reversed.

This time they are being a little bit more sneeky.

When I phoned them, the message automatically said thank you for accepting your new terms and conditions, however none of our operatives will have the information needed to discuss this matter.

Anyway I got through to someone who said he couldn't help. I insisted that I spoke to someone because I had never missed a payment and they had just put my credit limit up as they have every year.

He said he would speak to his manager, they said they could reduce it to 26.8%. He asked me if that's what I wanted to happen. I refused to accept this because I wanted it reduced back to where it should be. I told him I went on this and many other money websites and MBNA are notorious for this.

I didn't want to agree to this new rate incase they accused me of accepting it and agreeing that it should be my new rate in any dispute.

He said he could not lower it any further over the phone, but I could complain in writing.

I've gone one better, I've gone to the Financial Ombudsman. I know MBNA are there to make money, but attempting to double the interest rate every year is extorsion.

On a good note the Halifax has agreed to take some of the debt on to elevaiate the problem which means increasing my credit limit with them, and it's 0% until November on an existing card, thank you Halifax. Shame on you MBNA.

If this country does go into recession, it will be down to the antic of credit card companies like this, that double the debt overnight. Yes they can change interest rates on a variable card, but if they can reduce it without checks over the phone, then my credit rating must have nothing to do with it.

YorkshireBoy

MBNA customer loyalty department: 0800 783 1116. These people have more 'power' to lower rates.

The FOS won't entertain a complaint unless you have first exhausted the MBNA (max 8-week) internal complaints procedure. In fact, I'd go as far as to say they won't entertain a complaint of this type at all...but good luck all the same.

yorkshireman08

YorkshireBoy wrote: »

MBNA customer loyalty department: 0800 783 1116. These people have more 'power' to lower rates.

The FOS won't entertain a complaint unless you have first exhausted the MBNA (max 8-week) internal complaints procedure. In fact, I'd go as far as to say they won't entertain a complaint of this type at all...but good luck all the same.

Thanks for that. Rang them. Over the phone 26.9% is the lowest they can go to. I should write to them.

Welcome to the credit crunch !

nomoneytoday

yorkshireman08 wrote: »

I've gone one better, I've gone to the Financial Ombudsman. I know MBNA are there to make money, but attempting to double the interest rate every year is extorsion.

The FSA will refer you back to MBNA, as you have to go through their complaints process first...

yorkshireman08

nomoneytoday wrote: »

The FSA will refer you back to MBNA, as you have to go through their complaints process first...

Actually the FOS are writing to the MBNA telling them that I wish to make a complaint and to contact me.

They are also sending the information pack out, and told me to take it from there and then to get back in touch if MBNA have not contacted me within the timescale set or if I am unhappy with the response.

supersavershal

MBNA have also done this to me I had a letter this morning raising my interest rate to 27%.I never miss a payment and in fact last month made 3 extra payments (only small amounts but extra nethertheless), last year they reduced my credit limit from £5000 to £500, I never bothered at the time as I didnt need the £5000 but I cant understand why they are doing this when I always pay more than the minimum and always on time.
Do you think I would be better complaining by letter or ringing them? My balance is £350, I have used the card once in 3 months for a small purchase.
I know they can raise the APR as it states in their t and C, but can they do it because they feel like it, even if you are a good customer? I feel like paying it off in full and closing the account I feel really annoyed about it.

Dylanwing

My recommendation is to get a new card and tell MBNA where to go. I've never been a great fan of US Banks as I used to deal with them in a former job, and they are a lot worse than UK Banks for customer service.

Bismarck

supersavershal wrote: »

I know they can raise the APR as it states in their t and C, but can they do it because they feel like it, even if you are a good customer? I feel like paying it off in full and closing the account I feel really annoyed about it.

MBNA are an unnatural beast....their definition of a good customer is open to question! They'll put your rate up because they feel they can make some money that way...they're taking a chance that you can't switch away...if you can, I'd suggest doing so and keeping the card as once your balance is clear they'll probably offer you a good deal again soon afterwards.....

clio

Aye i agree on dumping MBNA they seem a very unfare company, they treet customers badly a lot of the time. What makes MBNA pick on certain people is it because they are doing sneeky searches and trying to put 2 & 2 together on what information they come across!!

coolsolution

I got my letter this morning.Its going up from 15.9% to 29.9% wow great and i also never missed a payment.

whatever i just got 50 odd pound in balance i guess i pay that off and put it into a locker for funeral time (otherwise who the hell is gonna use it?)

untill they come back with a good offer or i decide to say ....off.


thanks guys i thought i am the only one here with this ridiculous MBNA...

LilacPixie

MBNA did this to us around 2 months ago when out 0% deal ended. upped the rate to 34.9% We did a BT to another 0% deal.

Now MBNA keep sending us letters on a weekly basis offering 0% BT. bizzarly they have also increase the limit on an empty card from 2k to £4500 as well. Strange company with strange workings.