Barclaycard Lowers Rates for 3m
Around three million Barclaycard customers will see their card’s APR cut by between 2.5% and 5%, with an acknowledgment from the company that many people were facing difficult times. The lucky 3m will be the card provider’s lowest risk customers - a further 9m Barclaycard holders will not see any change.
Critics have pointed out that the credit card industry has thus far not passed on the reductions in the Bank of England Base Rate, but card issuers say that in this economy there is an increased risk of people defaulting, which has meant they have to keep average APRs high to cover the costs of bad debt.
It remains to be seen whether other card issuers follow Barclaycard’s lead - it would appear that egg plc certainly aren’t.
February 4th, 2009 at 10:44 pm
[...] Best Credit Aid .com wrote an interesting post today onHere’s a quick excerptAround three million Barclaycard customers will see their card’s APR cut by between 2.5% and 5%, with an acknowledgment from the company that many people were facing difficult times. The lucky 3m will be the card provider’s lowest risk customers - a further 9m Barclaycard holders will not see any change.Critics have pointed out that the credit card industry has thus far not passed on the reductions in the Bank of England Base Rate, but card issuers say that in this economy there is an increased [...]