Credit card rates

[Fat Richie]

According to the BBC News website, the outstanding balance owed on credit cards in Britain stands at £53bn.

The gubberment is "planning a crackdown on the credit card industry to curb the temptation to get into debt" - as usual for this shower a tad late!

According to the article: "legislation will be introduced to stop card firms from raising the credit limit of a customer when this has not been requested. Ministers also want to ban firms from sending out unsolicited credit card cheques to consumers".

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?

Full article here: http://news.bbc.co.uk/1/hi/business/7947424.stm

[Fat Richie]

Nickyboy said:

Fat Richie said:

According to the BBC News website, the outstanding balance owed on credit cards in Britain stands at £53bn.

The gubberment is "planning a crackdown on the credit card industry to curb the temptation to get into debt" - as usual for this shower a tad late!

According to the article: "legislation will be introduced to stop card firms from raising the credit limit of a customer when this has not been requested. Ministers also want to ban firms from sending out unsolicited credit card cheques to consumers".

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?

Full article here: http://news.bbc.co.uk/1/hi/business/7947424.stm

Try MBNA and their associated cards, mine is 2.04% per month or 24% a year!!

Got a deal from Halifax and transferred the balance for 3.4% apr for the life of the balance. 5% cheaper then a loan i was considering.

Cut all mine up about 18 months ago - nil balances now, apart form one owing me £1.43!

[Fat Richie]

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!!

Both of you are way out with your figures... 2.04% per month is 32.9% per annum, and 1.94% per month is 25.9%.

So very little difference between them and loan sharks now then!