Originally Posted by Neil (Post 525708)

They make money on every transaction so if you use the card and pay in full each month they make about 2% on your transactions, the 2% is charged to the retailer not you ( well sometimes they charge you).

If you pay less than the full amount they make money in interest.

Originally Posted by jaysay (Post 525718)

I agree with tha Neil, but if you pay up every month they don't really like you, they'd much rather your card was maxed out and you were paying interest every month not just a one of 2% payment. I use may card a lot (not Egg) and I've never paid one penny in interest, mind you I am very careful what and when I use it, I have a set monthly amout whic I don't go over

Originally Posted by harwood red (Post 525736)

well I have an egg card, so we will just have to wait and see if mine get withdrawn, most of the year I pay it off in full, but occasionally like at this time of year after xmas it takes me a couple of months to pay it off!

Originally Posted by claytonender (Post 526460)

I found this copy of the letter EGG have sent to the customers they are ditching. I would be very angry to receive a letter like this, if I paid my account off in full to EGG every month, as it implies that the customer has a bad credit rating and history.


We are ending your Egg Card agreement - account number xxxxx

Dear Mx xxxx

We're writing to tell you that we've reviewed your Egg Card account, and under condition 20.2 of your Egg Card agreement, we are giving you formal notice that your agreement will end 35 days after the date of this letter (31st January 2008).

After the agreement ends, any cards issued on the account may not be used for new transactions of any kind. Please cut up all cards and dispose of them securely. Any regular payments such as monthly subscriptions will not be paid from the Egg Card account so you will need to cancel them with the service provider and arrange an alternative means of payment.

You must continue to pay at least the agreed monthly repayment each month until any debt balance on the account is repaid in full. The Egg Card agreement continues to apply until the balance is repaid in full.

You must make sure that any additional cardholder is aware of this notification.

Our lending policy requires us to keep our portfolio within an acceptable level of risk. The decision to end this agreement has been based on an assessment of the credit profiles of this account in accordance with our credit strategies. Factors that impact a credit profile may include payment history, account conduct and other credit information.

We will not record adverse information with credit reference agencies just because we are ending your agreement. However, we will share information about your payment record in accordance with our normal practices.

To find out more about your credit record you can get in touch with a credit referencing agency such as Experian at Credit Reports: Get your Credit Report from Experian UK - they'll be able to give you an up to date credit report.

If you have any additional questions about the termination of your Egg Card Agreement, please visit New Egg Home and log on to 'your accounts', if you still require further assistance call 0845 301 0891.

Yours sincerely


xxxx
Head of credit cards
Egg Banking plc

Originally Posted by WillowTheWhisp (Post 526512)

This bit:

doesn't sound like it refers to accounts which are paid off in full every month. It sounds like someone who may be getting out of their depth.

Originally Posted by WillowTheWhisp (Post 526512)

This bit:

doesn't sound like it refers to accounts which are paid off in full every month. It sounds like someone who may be getting out of their depth.