Credit Card Cheques
For nearly a year now I have had a credit card with Abbey.
Before that I had used an HSBC credit card for 12 years but eventually gave up on them due to chronicly poor service.
What I do not understand about the Abbey credit card is why they are always sending me credit card cheques (something HSBC never did) and encouraging me to use them for paying people and companies who won't accept a credit card. I have never asked for a credit card cheque.
Moreover in the same letter they have encouraged me to use a credit card cheque to put some extra money into my bank account.
I can't think of anything more non-sensical than taking money out on your credit card to put into your current account.
Presumably there are a significant number of customers who struggle with the small print and do not understand how unhelpful this all is, and who offer a nice return to Abbey in interest charges and transaction charges.
Is this really how major high street banks should be behaving?
Robin
Before that I had used an HSBC credit card for 12 years but eventually gave up on them due to chronicly poor service.
What I do not understand about the Abbey credit card is why they are always sending me credit card cheques (something HSBC never did) and encouraging me to use them for paying people and companies who won't accept a credit card. I have never asked for a credit card cheque.
Moreover in the same letter they have encouraged me to use a credit card cheque to put some extra money into my bank account.
I can't think of anything more non-sensical than taking money out on your credit card to put into your current account.
Presumably there are a significant number of customers who struggle with the small print and do not understand how unhelpful this all is, and who offer a nice return to Abbey in interest charges and transaction charges.
Is this really how major high street banks should be behaving?
Robin
posted by Robin at 9:52 am
Robin Keyte is one of the more forward looking independent financial advisers in the UK, campaigning for greater awareness of socially responsible investment and better business ethics
1 Comments:
I thought the cheques came with an interest free offer for 9 months? BUT there is a 3% charge, so I guess if you wanted for example £1000 and could pay it back in 9 months, is £30 less than you would pay your bank in overdraft fees over the same period? Or have I got it wrong !
Tigertom
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