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  • FIRST POST
    • MSE Guy
    • By MSE Guy 2nd Jul 09, 9:32 AM
    • 1,628Posts
    • 1,255Thanks
    MSE Guy
    Credit card cheques outlawed as part of govt crackdown
    • #1
    • 2nd Jul 09, 9:32 AM
    Credit card cheques outlawed as part of govt crackdown 2nd Jul 09 at 9:32 AM
    This is the discussion thread for the MSE News Story



Page 1
  • LongTermLurker
    • #2
    • 2nd Jul 09, 10:23 AM
    • #2
    • 2nd Jul 09, 10:23 AM
    CC cheques have their uses (stoozing for one ) when the fees and interest rates are low, eg 0%. Shouldn't the restrictions be geared towards companies who use cheques against you, rather than to provide additional benefits? E.g.
    • ban the sending of unsolicited cheques (take away temptation)
    • ban the addition of cheque-specific fees (prevent provider abuse)
    • force providers to allocate at least a proportion of repayments to expensive debt (promote more responsible lending and debt management)
    • Print the fees clearly on each cheque so you know exactly what it costs when you sign it (inform the user of the consequences)
    You've never seen me, but I've been here all along - watching and learning...
  • ILW
    • #3
    • 2nd Jul 09, 10:25 AM
    • #3
    • 2nd Jul 09, 10:25 AM
    Yey more legislation to protect idiots from themselves.
    • DawnW
    • By DawnW 2nd Jul 09, 10:28 AM
    • 5,595 Posts
    • 44,549 Thanks
    DawnW
    • #4
    • 2nd Jul 09, 10:28 AM
    • #4
    • 2nd Jul 09, 10:28 AM
    Best news I have heard for ages! I really hate the way credit card companies keep sending these things out in the post, even where (like me) you have requested that they do not

    As well as having the potential to trap unwary / inexperienced / young customers, they are also I think an open invitation for fraud and identity theft - it must be common knowledge that credit card statements contain these things (sent by ordinary post), and it just seems so open to thieves and fraudsters to take advantage. Not casting any aspersions on postal workers here - what about shared accommodation / student halls / blocks of flats where post arrives communally/ incorrect delivery / situations where people have moved and not told the CC companies / mistakes at the companies that result in letters being sent to incorrect addresses - the possibilities of these things falling into the wrong hands are almost endless.
    • dazza.mk
    • By dazza.mk 2nd Jul 09, 11:03 AM
    • 1,856 Posts
    • 1,164 Thanks
    dazza.mk
    • #5
    • 2nd Jul 09, 11:03 AM
    • #5
    • 2nd Jul 09, 11:03 AM
    Finally no more from Virgin/MBNA, I received 2 sets last week alone!
  • Count_Dante
    • #6
    • 2nd Jul 09, 11:38 AM
    • #6
    • 2nd Jul 09, 11:38 AM
    Yay, no need to keep shredding Capital One's cheques they keep sending me!
  • never-in-doubt
    • #7
    • 2nd Jul 09, 12:37 PM
    • #7
    • 2nd Jul 09, 12:37 PM
    wonder when the government will wipe my ars? Well, it seems they are slowly but surely dictating our lives to us! If I don't want credit card cheques, you know what, i'll ask the CC provider to cease or i'll bin them!

    I don't need any government to tell me how to live my life and the sooner we kick this pile of rubbish Labour into the trash where they belong the better!

    I've never read such garbage in years, well not since I read that Man Utd were the best team in Europe, but that was on April 1st! How on earth can the government appoint an advocate - jees! Before long most Brits will be abroad and Britain will become a haven for the terrorists....

    Go for it Gordon - ruin the country why don't you!
    • Llyllyll
    • By Llyllyll 2nd Jul 09, 12:52 PM
    • 841 Posts
    • 263 Thanks
    Llyllyll
    • #8
    • 2nd Jul 09, 12:52 PM
    • #8
    • 2nd Jul 09, 12:52 PM
    wonder when the government will wipe my ars? Well, it seems they are slowly but surely dictating our lives to us! If I don't want credit card cheques, you know what, i'll ask the CC provider to cease or i'll bin them!

    I don't need any government to tell me how to live my life and the sooner we kick this pile of rubbish Labour into the trash where they belong the better!

    I've never read such garbage in years, well not since I read that Man Utd were the best team in Europe, but that was on April 1st! How on earth can the government appoint an advocate - jees! Before long most Brits will be abroad and Britain will become a haven for the terrorists....

    Go for it Gordon - ruin the country why don't you!
    Originally posted by never-in-doubt
    Exactly - more legislation for the stupid. Surely you don't have to be particularly well educated to realise you shouldn't spend what you don't have?

    If however our education system does not teach people such basics then perhaps the money should be spent on schools and adult education and not on this load of b0llocks. Once taught, people can then make their own decision on whether or not to use CC cheques or other forms or credit.

    Personally I manage quite well and would prefer not to have further government interference.

    As an aside, I also understand that there is a world of difference between those who have always managed their money sensibly (and through no fault of their own e.g. redundancy have now found themselves in debt) and those who bizarrely feel that they can borrow and borrow (on every form of credit imaginable) and who have no plan or apparent realisation that it will have to be paid back at some time.


    Is it me...?
  • never-in-doubt
    • #9
    • 2nd Jul 09, 12:54 PM
    • #9
    • 2nd Jul 09, 12:54 PM
    Is it me...?
    Originally posted by Llyllyll
    Noooo - of course not, i'm sure if we look we'll find some legislation that proves it isn't you
    • nzseries1
    • By nzseries1 2nd Jul 09, 1:06 PM
    • 2,144 Posts
    • 1,851 Thanks
    nzseries1
    wonder when the government will wipe my ars? Well, it seems they are slowly but surely dictating our lives to us! If I don't want credit card cheques, you know what, i'll ask the CC provider to cease or i'll bin them!

    I don't need any government to tell me how to live my life and the sooner we kick this pile of rubbish Labour into the trash where they belong the better!
    Originally posted by never-in-doubt
    Not sure I could have put it better myself.
    You're spelling is effecting me so much. Im trying not to be phased by it but your all making me loose my mind on mass!! My head is loosing it's hair. I'm going to take myself off the electoral role like I should of done ages ago and move to the Caribean. I already brought my plane ticket, all be it a refundable 1.
    • horsechestnut
    • By horsechestnut 2nd Jul 09, 1:09 PM
    • 1,416 Posts
    • 2,743 Thanks
    horsechestnut
    Good; now my shredder can have a rest!!!
    • vet8
    • By vet8 2nd Jul 09, 1:47 PM
    • 865 Posts
    • 440 Thanks
    vet8
    This is typical of this damn government, they bring in regulation and it is the wrong regulation. I only use CC cheques if I get offered a 0% deal and I am sure any sane adult should be sensible enough to realise that they are expensive to use. You don't want them, burn them.

    As for the idea of raising minimum payments, that is fine in theory, it helps to encourage people to pay off the debt faster, but those who are really struggling are probably only paying the minimum as that is all they can afford. If they have to pay more they will be unable to - very helpful.

    What the government should be doing with its financial regulations are IMHO:
    1) Make all banks process payments received on the same day instead of taking 4 days or longer in some circumstances.
    2) Make it illegal for banks etc. to charge extortionate rates of interest, CC companies are charging 30% or more when the base rate is 0.5%.
    3) Force banks to stop their ludicrous overcharging - 38 for a bounced DD for example.

    If they brought in these measures they would really help hard pressed consumers and give them a chance to sort themselves out instead of being pushed further and further under by the banks.
  • NickX
    Hmmm, I like Credit Card Cheques, especially when they are 0% interest and NO fee, which I have had many times in the past.

    I also prefer lower monthly payments, so I can keep more money in an interest bearing savings accounts.

    Have these people no consideration for the poor impoverished stoozer
  • HockeyDuo8083
    YAY! I shredded my Smile cheques as soon as they came through. Funnily enough they arrived before my CC did...mmmmm
    Spreading the gospel that is Martin Lewis to the future generation....I'm a Home Economics Teacher and being thrifty is the way!
  • LongTermLurker
    Hmmm, I like Credit Card Cheques, especially when they are 0% interest and NO fee, which I have had many times in the past.

    I also prefer lower monthly payments, so I can keep more money in an interest bearing savings accounts.

    Have these people no consideration for the poor impoverished stoozer
    Originally posted by NickX
    Exactly, Nick - "protecting the people" is all well and good but all it does is make it harder for "the people" to get a good deal

    They don't need banning, they just need to come with a prominent wealth warning (I do agree with the banning of unsolicited cheques though, mainly because they never come with good - ie zero - rates)
    You've never seen me, but I've been here all along - watching and learning...
    • Rock Bottom
    • By Rock Bottom 2nd Jul 09, 6:03 PM
    • 5,150 Posts
    • 12,316 Thanks
    Rock Bottom
    The news editor for this subject is called Guy Anker .. I'm glad I don't have a name like that.

    Bit off topic but it was just a thought.
    • td_007
    • By td_007 2nd Jul 09, 6:38 PM
    • 1,152 Posts
    • 417 Thanks
    td_007
    Wonder how people can fight the temptation to make simple phone call to inform the card people that they don't want any cheques but are tempted to use those cheques to splash on a big screen plasma TV?
    • bert&ernie
    • By bert&ernie 2nd Jul 09, 7:03 PM
    • 1,220 Posts
    • 1,462 Thanks
    bert&ernie
    Hold on a second guys. The title of this thread and the headline of the many associated news stories is quite misleading. The government are proposing a ban on unsolicited credit card cheques.

    Here is the relevant text from the white paper:
    2.3.2 Unsolicited credit card cheques
    There have been concerns for some time that the practice of sending out unsolicited
    credit card cheques to customers could tempt people to over-borrow when they may
    already be in financial distress. Earlier this year, the Government announced that it would
    legislate to ban this practice. We propose that the ban would prevent the credit card
    issuer sending out cheques except in response to a specific request from a customer at a
    particular time. The credit card issuer would be able to offer cheques to the customer but
    would require the customer to opt into receiving them.
    So nobody who actually wants cheques needs to get their knickers in a twist.

    Also, bear in mind that this is a white paper - the industry and other stakeholders will no doubt respond and the government may or may not actually introduce some legalisation, which in turn may or may not resemble the contents of the white paper. The various card issuers will interpret said legislation based on their own legal advice and will change their business practice accordingly.

    Having worked on a number of regulatory projects in the industry, the only thing that I can say with any certainty is that the "devil is in the detail" and that the ultimate practical effect cannot be predicted at this point.

    Incidentally, I did find it amusing to see certain individuals complaining of "nanny state" intervention by the government - the very same individuals who vociferously defend a consumer's right to protection under the CCA.
  • never-in-doubt
    The news editor for this subject is called Guy Anker .. I'm glad I don't have a name like that.

    Bit off topic but it was just a thought.
    Originally posted by Rock Bottom
    Mate, could have been worse - linke Hugh Anker
  • never-in-doubt
    Hold on a second guys. The title of this thread and the headline of the many associated news stories is quite misleading. The government are proposing a ban on unsolicited credit card cheques.

    Here is the relevant text from the white paper:
    .
    Originally posted by bert&ernie
    Well spotted Bert/Ernie - nice one..... Reliable as always for grinding out the real truth (you should be the next Watchdog host!)
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