Comments on: Interest Rate Hikes for MBNA Customers

By: P M Myhill

P M Myhill — Fri, 26 Feb 2010 16:57:18 +0000

We have had a trouble free Alliance & Leicester credit card for about 15 years, invariably paying off in full each month.
Our last 4 statements, (beginning Nov 09, and I suspect co-inciding with the MBNA takeover), have all arrived too late to allow (immediate) payment within the deadline. The Dec statement arrived on a Fri pm with the following Sun as the deadline! Although we live in NW Scotland, none of our other mail suffered notable delays despite the seasonal rush and bad weather.
MBNA have brushed off complaints with a standard response to each and have refused to lift the penalty payments and interest charges, hiding behind the terms of ‘my agreement’ (which was not offered for renewal and signed by me!)
They fail to address comments that the problem appears to co-incide with their takeover of the card.
This is shabby and unethical, the credit card company should have a legal obligation to ensure that statements arrive with adequate time for payment. Next step the ombudsman and a new card provider

By: michael

michael — Fri, 26 Feb 2010 14:17:52 +0000

these people are far worse than loan sharks my rate is now withem at a whopping 34%

By: Kathy

Kathy — Mon, 22 Feb 2010 17:29:11 +0000

Count me in- I have had endless problems with them

By: Tony

Tony — Thu, 18 Feb 2010 22:53:27 +0000

Hi Trish,

Have you though about doing a balance transfer to a 0% interest card – there are a few out there

Tony

By: Trish

Trish — Tue, 16 Feb 2010 13:02:17 +0000

I originally had my credit card through Alliance & Leicester which seems to have recently been transferred to MBNA. Yes I did run up my credit card originally but this was because I became unemployed and basically used it to live off as what the Government pay in JS allowance was just not enough. Anyway I successfully gained employment, getting on for 2 years now, and the first thing I sorted out was to get my debts cleared as I hate being in debt. All is going well with my other creditors and most of my debt is clearing nicely, except of course this one, as the interest they are charging is an absolute disgrace.

At present I am paying £65 per month, far more than what’s required (because I want this debt gone!) but MBNA is taking nearly £40 of that per month in interest, so my huge attempt to get this cleared is going nowhere as I am taking 1 step forward and half a dozen back. To put it into context my last statement said ‘balance from previous statement, 1378.04, new balance 1363.49′. You can see from the figures that my £65 is going nowhere. And does this company begin to care about this, NO! Does this company take into account that you are paying over the top of what they ask for each month, NO! Is this company just one big parasitic roach that wants to bleed their customers (of which I wasn’t one to begin with) dry just so they can have their interest and keep their board members pampered and spoilt, YES!

One day this debt will clear, hopefully whilst I still have breath in my body, and roll on that day cos I sure as hell going to tell them exactly what I think of them when the debt is gone, mark my words!!

By: roisin doran

roisin doran — Mon, 09 Mar 2009 19:32:31 +0000

totally agree with the above. i was late by 5 minutes with an online payment and they took my promotional rate of me. rang them and they said there was nothing they could do. i now have to pay £237 a month interest alone on a 9,000 bill dont know what i am going to do! can anyone give me any tips?

By: A Dookhy

A Dookhy — Thu, 29 Jan 2009 23:41:10 +0000

MBNA has hiked my interest to 34.5% after a balance transfer! I only noticed it 6 month later as I have been doing a direct bank payment. I wrote to them and they replied saying that under my current circumstances which they are able to discuss, they feel that’s the right interest rate, if I want to know what has affected my rate, then I need to contact Experian! As it happens I am an experian subscriber and my rating is in the 10% of the highest nationally, and a squeaky clean record of payment for the last 10 yr., I have decided that I don’t trust them and paid off £8k from my bank account and as soon I have the rest I will settle it and close my account! People should remember these kind of abuse by banks like MBNA and should avoid them and discourage friends and family, so far I have encouraged 3 of my colleagues to give up their card, in face of greed just like many other bank, I hope MBNA goes bust just like them!

By: Paul Midcalf

Paul Midcalf — Wed, 28 Jan 2009 10:18:04 +0000

I paid off all my Credit Cards in one foul swoop in March 2007, but decided to keep the one which offered me the best deal. No suprises it was virgin MBNA that offered me 11% apr for 1 year. That seemed very good at the time and although my gut feeling said “no dont stick with these guys” I kept the card, and slowly spent away on it as they slowly increased the credit limit throughout the term of one year. Since the initial year they have hiked my rates up 3 times, lastly being in September 2008 to 34.9% apr. I wrote a letter of complaint and finally received a final responce this morning which includes the line “Regrettably, we are unable to reduce the interest rates on your account. Currently this is the most competitive rate we are able to offer.”. Oh how I laughed! It’s no wonder Mr Virgin has his own island, as part of it must surely be mine.

I will obviously try to pay it all off and close the account, but of course they have you by the short and curlies. They must credit check you periodically in order to increase your limit, so they know when your NOT gonna get any more credit – then bang the rates up.

DONT GET A VIRGIN CARD PEOPLE!

By: J Smith

J Smith — Thu, 15 Jan 2009 11:41:06 +0000

Hi Sandy I will definitely be interested in lodging a complaint.

By: J Smith

J Smith — Wed, 14 Jan 2009 12:14:36 +0000

I have been battling with MBNA(Virgin) for 18 months now. It was my own fault really and I can kick myself because I went over the limit without realising and continued to pay the same amount each month little did I realise I was gathering more and more interest over the two months that I didnt check the account. I then got a letter saying I was being penalised and being put on 34% interest I didnt kick up a fuss instead paid the extra each month thinking my rate would be returned to 17% each month the amount I had to pay went up I kept paying more. Now 18 months later after paying in about 2K maybe more I still have not even made a dent in my balance the last two months has seen my account go under the limit by a couple of hundred pounds but still my interest rate has stayed at 34% I have queried why its hasnt been returned to 17% and every answer means another brick wall.

I made a late payment this month so I have just checked what I need to pay next month its £60 more plus a £12 charge. I cant survive like this I think they are breaching my consumer rights or something if not it just doesnt seem ethical that these people will offer you no guidance or a help.

I wrote them a letter asking to stop the interest on the account until I could get back into the limit yet they never replied, I have spoken to many customer service people who fob me off with long hold calls and transfers to every dept in the company to be told nothing can be done about it except a few times being offered loan at %15 which is secured against my home.

I dont know what to do or who to ask for help regarding this all I know is that I cannot keep paying the high amounts each month I was paying £150 18 months ago in the last 2 payments I have paid a sum of £800 and I havent used my card since it was block from use 18 months ago and the balance is only £200 less than it was 18 months ago.

Something needs to be done about these fat cats!