Jacamo Rate jacking
Catalogue company are hiking interest charged to customers.
Letters being sent to customers inform them that it's due to changes in personal circumstances
Customers who don't accept the rate hike are told to send 30 days notice and pay all outstanding debt.
Pay off balance in full if you don't accept
It raises questions as credit card companies allow customers who refuse a rate hike to continue on the old interest rate until the debt is cleared.
What if customers have large balances, when they borrowed this, they were obviously borrowing at the lower rate.
Credit Limits still increased
Despite this letter, 2 Credit limit increases were given to the customer within 30 days!
So Risk doesn't actually make it on Jacamo's Responsible lending requirements?
Plus if a customer is currently in a financial situation is it right to push them further in debt?