Virgin Credit Card rate increase no notification
neveragain
Posts: 11 Forumite
in Credit cards
Last month I increased by direct debit on my Virgin credit card but noticed when i got my statement they have increased by interest rate from 17.9% to 24.90% without notifying me which all but cancels out the benefit of increasing my payment as it wipes out the extra I was paying.
Surely they have to notify you of any interest rate changes? My last statement estimated my interest as £47.55 and was actually charged £64.83. I have spoken to them and put through to a team who they say are specially set up to deal with this!!! When i spoke to them they have put a case forward to try to get the rate back which can take up to 30 days.
In the meantime they had the cheek to then send me an email pointing out i am not paying much more than the minimum and i should consider paying more! Exactly what i was trying to do before they wiped it out with the rate increase :mad:
Once this is paid off i wont be having anything Virgin as just sacked off the tv package due to appalling customer service.
Surely they have to notify you of any interest rate changes? My last statement estimated my interest as £47.55 and was actually charged £64.83. I have spoken to them and put through to a team who they say are specially set up to deal with this!!! When i spoke to them they have put a case forward to try to get the rate back which can take up to 30 days.
In the meantime they had the cheek to then send me an email pointing out i am not paying much more than the minimum and i should consider paying more! Exactly what i was trying to do before they wiped it out with the rate increase :mad:
Once this is paid off i wont be having anything Virgin as just sacked off the tv package due to appalling customer service.
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Comments
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A credit card company can increase your rate it will be outlined in your credit agreement. I did think they had to give you 60days notice and the option to keep your existing rate but the card would be closed to new purchases.0
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It may also say on last invoice “as from next month your interest rate will be....”0
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A credit card company can increase the interest rate on a credit card at any time and buy as much as it likes0
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However what they must do is allow you to replace existing debt at the rate which you borrowed it
this means you must repay the balance at the original interest rates within a reasonable period0 -
What constitutes a reasonable Is a bit vague but for example if you have been paying only the minimum payment for some time then you should be allowed to continue paying the minimum payment at the Old interest rate
in your case you should be allowed to continue paying the same as you have been paying but keeping the interest rate the same until the balance is cleared
just make sure that you don't spend anymore on that credit card whilst you repay0 -
Have you checked your previous statements? Most card issuers will give you advance notice of a rate change by noting it on your statement, they don't send you a specific/separate notification.0
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I've checked my statements and no warning at all. I have asked them previously about remaining on interest rate and I've destroyed the card but they declined. Just wondering it I can complain about it as they are pushing people towards defaulting and the advisor commented last time I spoke to them that if I defaulted twice they would look at it!0
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neveragain wrote: »Just wondering it I can complain about it as they are pushing people towards defaulting
You can complain about anything you want.
However, I wouldn't use the argument that are pushing people to defaulting, as that wouldn't make any sense.
What they're doing is managing risk.0
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