Sigh: No more "free money" from Egg :(

x-no-archive: yes

i guess it is effectively a cash advance, so they want something out of the deal, especially if no interest if going to be charged, and most people would only be using the new card account to pay off the old balance..?

My joining anniversary came up last month and I was also told there would be a 2.5% fee applicable. Despite that, I went ahead and took the maximum transfer allowed of 95% of my credit limit to my bank account. No fee has appeared on the account so far, the last statement showed no charges either.

I suspect that Egg are honouring their annual 0% balance transfer commitment to people who obtained their cards prior to the introduction of transfer fees, but they're just keeping quiet about it. You might be lucky too.

Chris

No their not! My anniversary was in August and they did not even bother advising me this year. I would not have used it anyway because of the balance transfer fee.

I didn't get an email either, but I noticed the transfer fee mentioned on their web site. I had expected to be charged, but wasn't. You probably wouldn't have been either if you had gone ahead.

Chris

Egg updated the T&C's for existing customers a few months ago(april/may) and extended the balance transfer fee for those customers who had previously not been charged anything on their anniversary offers.

There have been reports of some Egg customers still being offered 0% deals with no fees but the 'standard' now is to pay fees.

As you might expect a lot of existing Egg Card customers have closed their accounts and gone elsewhere (or to Egg Money)

Regards Sunil

'bout bloody time.

tim

OK... I know I shouldn't but I can't resist :(

Would you care to enlighten the newsgroup as to why you feel so strongly on the matter?

Surely you don't begrude the financially savvy the opportunity to make a few bob?

The banks/cc companies are all out to screw the poor customer (25 quid late payment fees were taking the piss for instance ) and it is nice to play them at their own game every now and then.

Because I don't believe that they make a net profit on the deal.

I know that the cost is a marketing cost, designed to gain new customers but ISTM that they are customers that you don't want to buy - fickle ones who are going to switch again as soon as the deal is over.

This idea worked once, for the company who did it first, but as soon as everybody jumped on the band-waggon it was dead duck. It's taken far too long for the companies to realise this IMHO.

Now, given that this deal makes a net loss someone has to pay for it. ISTM that the 30 quid charges for this and 30 quid charge for something else proliferated at the same time as companies started to fall over themseves offering marketing gimmicks like this.

I have a problem with these 30 quid charges, partly because (as the OFT has decided) they are disproportionate, but also because they are self perpetuating, that is: a large portion of the charge is there solely to adminster the system that determines if someone has transgressed. In reality, the cost to the credit card compay of someone making a payment late or overstepping their credit limit is zero and there should be no reason for the company to even bother with it.

The Credit card industry[1] used to make perfectly good profits each year without loss leading marketing gimmicks paid for by penal charges. It would be nice if they would return to that.

Not if it is paid for by me, no

tim

[1] personally I don't believe that it is an industry but this seems to be the accepted term now

"tim(yet another new home)" wrote

"tim(yet another new home)" wrote

Aren't you capable of controlling your usage sufficiently to keep within the T&C that you agreed with the CC co? [CC limit & payment dates.]

I have never actually paid one of these fees. But ISTM that they are the sort of trap that anyone could fall into with a small oversight, you don't have to be completely financially stupid to get hit by them very ocasionally.

tim