Alliance and Leicester BT fee & SBTs

Former_MSE_Dan

Hi all,

As regulars'll know, the issue of BT fees on MBNA cards is becoming a bit of a drama. Up until today, the info we've been giving out about Alliance and Leicesters stance on the fee (none on application, but there is at all other times) has been confirmed repeatedly by all people who need to be confirming it at A&L.

Unfortunately, there's now an official statement confirming that they will begin charging fees for all new customers from Oct 3rd (monday). Also for existing customers, the T&C's will change from 'may charge a fee' to 'will charge a fee' from November 1st (although this makes little practical difference as they were doing this anyway!! :rolleyes:)

Also, over the same timescale for new and existing, free SBTs are going to become redefined as cash transactions, and therefore no longer part of 0% Balance Transfers.

Well, some days you get good news, some days not so good

We'll be updating the info on the site soon, but this was a early heads up for any forummers reading this.

For more info on other options, see Best Balance Transfers, Fee Free BT Table (although obviously A&L is currently wrong) and What is an SBT?

Newbird

Thx again Dan, it also applies to ABBEY, (also MBNA) from their response in branch today..I guess you will have an official statement from them, any time now as well.

If the A&L thing happens Monday 3rd, that explains why their customer advisor said she would honour the no fee deal for me last tuesday, only to do a complete uturn today, I guess the branches have had the message too!

Former_MSE_Dan

Thx again Dan, it also applies to ABBEY, (also MBNA) from their response in branch today..I guess you will have an official statement from them, any time now as well.

Of course we'll keep you updated as and when - but currently we're talking to them about this about once a week and Abbey still state it is fee free in branches... It'd just be nice if they told some of the branches that :mad:

joe13

I took out an alliance and leicester credit card this month on the understanding that there would be no balance transfer fee payable for balance transfers taken out at time of application. I filled in the form on the internet and unfortunately I can now find nothing in writing to confirm this.

I have today received my statement and been charged a 2% fee on both BT's i did. I have just rung A & L and they confirm this is correct and if I do not wish to pay the charge then I can send them the money back and they will refund the charges.

Financially i will still be better off paying the 2% charge (max £35.00) on the larger BT I did and keeping the money in a high interest account paying 4.75%. But I do object to being charged by A & L.

Anyone else had this problem and did you get around it.
Thanks

Milarky

Just stresses the importance of only doing a single balance transfer - one fee on a combined amount is always going to be less - and also [if you have unused MBNA cards in the locker] NOT requesting the transfer until you get the card. At this stage they can up your A&L credit limit by cancelling/reducing those other cards before asking for the maximum then available on the larger limit. Getting an increase later is less good.

[What do you mean '£35'? It is now £50 for new customers and I'd expect it to be £50 for the rest, too, by the end of nine months.]

YorkshireBoy

Milarky wrote:

[What do you mean '£35'? It is now £50 for new customers and I'd expect it to be £50 for the rest, too, by the end of nine months.]

A&L was the last of the 'big-name' MBNA branded cards to increase their BT fee to £50. From memory it was brought into line during September/very early October - the exact date was publicised on these boards at the time.

joe13

YorkshireBoy wrote:

A&L was the last of the 'big-name' MBNA branded cards to increase their BT fee to £50. From memory it was brought into line during September/very early October - the exact date was publicised on these boards at the time.

I have been charged £35 for the balance transfer on my new account. But I am not happy with this amount, definately not worth doing if they are going to charge £50 unless it is for a big BT and it is going into a high interest account.

YorkshireBoy

joe13 wrote:

...I am not happy with this amount...

Why not? It was clearly stated in the T&C's that they "may" charge a BT fee.

With all the "turmoil" of the MBNA run cards' BT fee situation during late Summer/early Autumn, and numerous discussions on here, you must have half-expected it surely?

joe13

YorkshireBoy wrote:

Why not? It was clearly stated in the T&C's that they "may" charge a BT fee.

With all the "turmoil" of the MBNA run cards' BT fee situation during late Summer/early Autumn, and numerous discussions on here, you must have half-expected it surely?

As I stated in earlier post, i signed up for A & L on the understanding that there would be no BT fee for BT's done at time of application. I signed up at the beginning of October and appartantly the policy changed on october 3rd.
They have agreed to refund the fee for the small BT I did and I will leave the big BT running.

ctm_2

joe13 wrote:

As I stated in earlier post, i signed up for A & L on the understanding that there would be no BT fee for BT's done at time of application. I signed up at the beginning of October and appartantly the policy changed on october 3rd.
They have agreed to refund the fee for the small BT I did and I will leave the big BT running.

'On the understanding' isn't really enough. That's why when I applied I rung up and confirmed I wouldn't be charged, and kept the name of the person, the time I called etc... That way, when they did charge, they refunded the whole lot.

Dan29

Hi all

Apologies in advance - I should be able to work this out myself but am suffering from sleep deprivation and a crisis of confidence..!

I have a £27200 limit on my A&L card, which I've held for about 7 years, and which has an offer at the moment of 2.9% until May on balance transfers.

I want to transfer this money to my current account and then on to a savings account. It sounds like since the changes in T&Cs, I would incur a large fee if I did this directly as a SBT as it would be classed as a cash transaction?

My Egg green card has a credit limit of £14500 so I could use this as a mule but would have to make two transfers at a fee of £50 each as I cannot put my Egg card in credit by more than its credit limit. However this is still cheaper than SBTing directly from my A&L card into a current account.

Am I right, and have I missed anything?!

Thanks very much
Dan