Increased Credit Card Charges

[MANTO]

Seems the banks can still do what they like and not inform their customers;

SIX credit card providers have hiked their charges for consumers at a time when most people are struggling to pay bills, the Irish Independent has learned.
Last night the move was condemned by consumer representative bodies, which accused credit card companies of exploiting people when they are financially vulnerable.
Leading credit-card providers including AIB, Ulster Bank, Permanent TSB, Bank of Ireland, Halifax and National Irish Bank have either increased the rates they charge on their cards or imposed higher fees for making the likes of late payments.
The imposition of higher charges on credit cards comes despite a record six falls in European Central Bank interest rates, which has seen the main rate fall to a historic low of 1pc.

 

[Gervan]

Not credit card, I know, but Littlewoods wrote to tell me their interest rate was increasing from the current 39.9% to 43.7%.
I cannot believe these are legal interest rates, in today's world!

 

[deeheg]

hi ya, I was reading an english similar website to this moneysavingexpert.com and in the uk people are now been reimbursed for charges made to their card for their over credit usage etc that these not legal in uk anymore, is that in place here? or do we have to dig so deep to find the answers? also, they could claim back for a number of years!

 

[paulpd]

Also not credit card, but I got a letter from NIB recently to say that they have incresed their variable loan rates on personal loans to 10.90%. How can they justify this?? A friend also got the same letter. Neither of us missed any repayments so it appears to be across the board.

 

[smiley]

How can they justify this??

I dont think they have to.

As far as i understand NIB are not under the Irish Government guarantee so theres no pressure on them to be 'nice' to their loan customers.

 

[allthedoyles]

Not credit card, I know, but Littlewoods wrote to tell me their interest rate was increasing from the current 39.9% to 43.7%.
I cannot believe these are legal interest rates, in today's world!

Gervan ,
Have a look at the apr from these guys .........150.3 %

http://www.providentpersonalcredit.ie/

 

[theresa1]

Up your street is right -more like up a laneway!

 

[moneyhoney]

Gervan ,
Have a look at the apr from these guys .........150.3 %

http://www.providentpersonalcredit.ie/

These guys are moneylenders.

 

[skrooge]

Seems the banks can still do what they like and not inform their customers;

Well in defense of Halifax they have written to tell me well in advance that interest rates were going up

The imposition of higher charges on credit cards comes despite a record six falls in European Central Bank interest rates, which has seen the main rate fall to a historic low of 1pc.

Nothing to do with the ECB rate. This is unsecured lending and at a time when incomes are falling and people are lossing their jobs such unsecured lending becomes riskier for banks. It makes sense for banks to hike up rates.

Credit cards are one of the most expense ways of borrowing you should pay off the balance at the end of each month in full and not incur interest. If changes in credit card interest rates are having such an effect you should consider getting a persoanl loan to cover the outstanding credit card debt.... Its cheaper!