Credit card rates
Discussion
okgo said:
Yes, my Virgin card recently jumped from 16% APR to over 25%.
Needless to say I quickly increased the payments.
Whn my Virgin CC jumped to around 32% APR, I called MBNA. and they told me that they upped my interest rate because of the amount of my credit 'balance' (at the time around £20k across three cards and two loans). So the more Credit Debt you have, the higher your APR will be?Needless to say I quickly increased the payments.
SJobson said:
Nickyboy said:
Fat Richie said:
(eg: Mint, 1.94% monthly on purchases - crap with maths but that's around 16%+ pa?)
Try MBNA and their associated cards, mine is 2.04% per month or 24% a year!!SJobson said:
Nickyboy said:
Fat Richie said:
(eg: Mint, 1.94% monthly on purchases - crap with maths but that's around 16%+ pa?)
Try MBNA and their associated cards, mine is 2.04% per month or 24% a year!!1.0204^12 = 27.4
1.0194^12 = 25.9
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
tamore said:
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
Probably 5% of my spend has to go on Visa/MC because Amex isn't taken.
For the benefits I get from Amex this is a tiny inconvenience.
ipitythefool said:
tamore said:
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
Probably 5% of my spend has to go on Visa/MC because Amex isn't taken.
For the benefits I get from Amex this is a tiny inconvenience.
In half of these, it was look at the card and say they dont take it, the other half the PDQ machine refused the transaction.
Only online services I've found that dont take it are utility companies. Scottish Power and Glasgow City Council namely.
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
My Amex card has an eyewateringly high APR because the annual fee is included in the figure. However removing the fee (which gets other benefits concerning BA miles use / earning) makes it comprable to other cards.
It is the least accepted of the major cards in the UK / Europe but ubiquitous in the US where I do most of my business travel
Ben
It is the least accepted of the major cards in the UK / Europe but ubiquitous in the US where I do most of my business travel
Ben
andy400 said:
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
Separates the "we dont take Amex" from the "we'd rather not take Amex".
emicen said:
andy400 said:
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
Separates the "we dont take Amex" from the "we'd rather not take Amex".
Fat Richie said:
Would they not be better hammering the banks to bring down the ridiculous interest rates that these cards charge (eg: Mint, 1.94% monthly on purchases - crap with maths but that's around 16%+ pa?), particularly considering how low base rate is?
What does the panel think?
There is nothing wrong with the levels of interest rates on CC cards. What is wrong is individuals using Credit cards as a source of long term Debt. These rates should actually discourage their use. Their rates should be comparible with short term small overdraft rates which I believe are actually charged at a similar rate. Low borrowing rates are usually joined with minimum periods of time/redemption penalties and arrangement fees etc.What does the panel think?
andy400 said:
ipitythefool said:
Iain328 said:
About last Oct the twunts at UA decided to change the program to an AMEX card which is bloody useless. Over 50% of my CC expenditure has had to be on my "reserve" HSBC mastercard ever since because so many places don't take Amex.
Hardly anywhere doesn't take Amex.All department stores, petrol stations, supermarkets, airlines, train companies, most clothes shops, most restaurants, most high street shops. I never see this problem - why do so many others?
I use the Amex card as option one - always just hand it over & wait for it to be refused. Some examples of places that won't take it: Toyota dealer for a £500 deposit on a car, my Dentist, numerous on-line merchants (Play.com, Game etc). Paypal charge a fortune for using Amex - oh and Maranello Parts won't take it either!
The supermarkets take it and so do petrol stations as a general rule.
Life was much more straightforward when I had a Visa card - EVERYBODY takes that.
andy400 said:
LukeBird said:
Education not regulation.
If people understood APR and interest rates they'd look differently on it
Heard a radio programme, with some people being interviewed in the street who thought the higher the APR on a CC, the better!! If people understood APR and interest rates they'd look differently on it
I've never heard that before.
That just proves my original comment!!
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