A question about : What happens if............
you apply for a card, agree a BT with them etc but do not sign the consent form when it arrives?
I have applied for MBNA card (first time customer) and they have hit me with a Ј35 transfer fee, I questioned it but got nowhere. All I want to do now is do away with them. In fact I want to do away with credit card tarting - I'm tired of being conned/misled. Barclaycard gave me Ј1200 credit limit and now MBNA have given me Ј3000 at 0% for 9 months and a Ј35 fee.
It's not worth the bother, because basically I have a card which I can't purchase on (MBNA) and my Barclaycard which can't be purchased on because I have to keep it maxed out to make it worthwhile having at all (blinding 40 quid a year interest WOW)
So if I fail to sign, can they charge me anything?
Best answers:
- But Ј3000 at 5.5% for 9 months will more than cover your Ј35 fee won't it?
- Well Ј3000 for 9months gives you a profit of Ј100 ish after tax.
When you take into account that you have to repay a min of Ј60 per month ish then the Ј100 drops to around Ј88 ish, not exact figures.
Take out the Ј35 charge and you make a profit of Ј53 ish.
Better than a kick in the pants but makes it look less appetizing than first glance.
Means you get around 2% return on your Ј3000.
Anyone check those figures for me.
They won't be far wrong :-[ I hope. - You only need to repay Ј5 a month to MBNA don't you. Check your T&Cs.
- If you use your 2% repayment a month, you get about Ј83 assuming 5% AER (4% net).
Quote: - Let me guess, David, last name "Ruleof"?
So that's 98% of Ј3,000 = Ј2940 borrowed plus Ј35 fee = Ј2975.
Ј2940 on deposit for 1 month +28days
Ј2900 remaining after first repayment, then [at months]
Ј2895 [4], Ј2890 [5], Ј2885 [6], Ј2880 [7], Ј2875 [8] and paid off at month 9.
So you have an average oustanding balance of
Ј2875 x [9/12] + Ј5 x [(8 + 7 + 6 + 5 !+ 4 + 3)/12] + Ј40 x [2/12] = Ј2156.25 + Ј13.75 + Ј6.67 = Ј2176.67
4% of Ј2176.67 = Ј87.08 less Ј35 != Ј52 pheww - Does that mean my rough figure of Ј53 was quite close to the actual.
I am impressed - Yes John. Its then Ј5 per month after that.
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