Marbles was the first Credit Card to give me a second chance, I can't deny that. Use it well and improve your Credit rating I was told. So low and behold after receiving my credit card and spending on it monthly, I ensured I didn't leave a balance.
The Original APR was high but when you have bad credit you don't really shop around
My rate when I took out the Credit Card was 34.9%, that's high but for people with a Bad Credit Rating these are the kind of standard rates we can expect.
As my credit rating improved I applied and was successful for Main Stream credit cards.
Good Credit Limit for a Sub prime card
I kept my marbles.com credit open, simply because it had a nice credit limit, just under £3000. It was handy for Car repairs, Vet bills and the like.
Once my new Main Stream credit was in place I received a letter out of the blue from Marbles to inform me they was increasing my Credit APR to 44.9% an increase of 10%
Not Holding a balance on a Sub Prime Card
It didn't matter to me, I didn't hold a balance but it didn't make much sense when I looked at my improved credit rating, surely like Main Stream providers my risk had reduced not increased.
Now, roll on four months, yes 4 months and once again I have another letter, this time a further increase to 50.94%.
Now before I get left comments like, You agreed to their terms and conditions, they can do it legally, yes, that's not my point, my point here is Morally.
This Credit card obviously expect people who get a hike to say OK NO, I will close the Credit Card.
Of Course, I don't plan to close the Credit Card, it's still in my wallet for the same purpose, a Safety net.
However, what they don't realise is, if I needed a safety net, charging me 34.9% would actually encourage one to maybe pay some interest if things got tight, but at 50.94% I wouldn't even be tempted, in fact, I would probably go to one of these short term lenders.
So the saying, Cutting your Nose of to spite your face does come to mind.
Credit Card rate hikes are not right in my mind in any sense. Wouldn't it be better if Marbles sent out a Letter explaining the Card has served it's purpose and maybe it would be better to try for a Prime Card? We will be closing your card in X days?