MBNA BT UPDATE

Systemaddict_2 · 18 December 2004 at 3:17PM

JUST TO UPDATE EVERYONE.

TODAY - MBNA HAS CONFIRMED TO ME THAT THEIR BT FEE IS NOW 2% AND THEIR MAX FEE AMOUNT IS NOW £50.

MAXIMUM AMOUNT OF BT NOW ALLOWED IS 95% OF THE CREDIT LIMIT (CHANGED FROM 98%).

PLEASE BE AWARE THAT THEY WILL ALSO CHARGE A FEE FOR EACH TRANSFER EVEN IF 2 OR MORE TRANSFERS ARE ALL REQUESTED AT THE SAME TIME!

MBNA ALSO CONFIRMED THAT THEY WILL NOT INCREASE OR REVIEW CREDIT LIMITS IF EXISTING CUSTOMERS HAS MORE THAN 1 MBNA CARDS.

Walletwatch · 18 December 2004 at 3:45PM

That sure is too much of bad news to handle at a time >:(

nh · 18 December 2004 at 4:35PM

Gosh, they really are whacking us stoozers at the mo!

Surely what we should now do is close all our MBNA cards after the 0% intro period and then apply as new customers in six months, getting the first BT for free.

Tim_L · 18 December 2004 at 4:56PM

I had an MBNA deal extended a couple of weeks ago and paid no fee for the transfer because I was "in the first year". I think I just got a particularly obliging customer loyalty person - I didn't actually ask not to pay a fee, just asked whether there was one - but I don't think the rules are as hard and fast as they might appear.

I would guess that there are sales and retention targets in the period coming up to Christmas which may make reps a little less strict than they might otherwise be. Anyway, even with a £50 fee, there's still a good profit available from MBNA deals so they're still worthwhile.

nh · 18 December 2004 at 5:05PM

But if they're not going to increase limits... it might be worth cancelling them?

Incidentally, I got a second BT from my MBNA for free a few months after I had opened it (and after I had already done one BT). She said 'we should charge you but..' and then didn't so definitely you can get round the fee sometimes

Milarky · 18 December 2004 at 6:36PM

The trouble about cancelling the card is getting round to doing so before they phone you up and offer you a further deal once you repaid the balance - they are quick as people have noted.

MBNA's tactics are simple enough: Keep offering short-terms but include a fee eachtime and gradually increase the rates as you go. Then mailshot you with personal loan offers at much higher fixed rates. The advice has to be: only borrow more from them if the fee/amount available/rate/term still makes stoozing sense.

[eg £6800 for 6 months with a £35 capped fee at 1.9% - what's that as an APR?]

pioneer31 · 18 December 2004 at 6:45PM

Gosh, they really are whacking us stoozers at the mo!

Surely what we should now do is close all our MBNA cards after the 0% intro period and then apply as new customers in six months, getting the first BT for free.

They're not free AFAIK. My first BT was £35.

MarkyMarkD · 19 December 2004 at 2:20AM

They offered me 6 months @ 1.9% on my Virgin card after I cleared the balance.

As for Milarky's question, 6 months @ 1.9% + £35 fee, for £6,800, equals interest of £64.60 so around £100 total cost for 6 months = £200 per year = around 2.9%. Not a bad rate really. But a lot more than 0%!

realaledrinker · 19 December 2004 at 2:41AM

Pretty crap if you ask me.

If you are a 40% taxpayer, you barely break even. Even at basic rate, better to take your business elsewhere if you can get another 0% deal.

westernpromise · 19 December 2004 at 3:31AM

Pretty crap if you ask me.

If you are a 40% taxpayer, you barely break even. Even at basic rate, better to take your business elsewhere if you can get another 0% deal.

Exactly.

Have had an MBNA card for 12 years, but it's bye-bye MBNA in February next year.

Who's next-best at the mo' - Egg?

Martinslovechild · 19 December 2004 at 4:25AM

Who's next-best at the mo' - Egg?

For SBT's - Egg
For 0% - Lloyds Advance (12 months), Halifax One (9 months), HSBC (9 months)

MBNA BT UPDATE

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