Pensioners' Credit Cards cancelled!

I agree Jane43, I always use PayPal online as you don't have to type in any card information in the retailer's site so its safer (you are sent to your PayPal account and do the transaction there). Once done, PayPal inform the retailer they'll pay, and yiu ate returned to the shop site. Its so slick. Practically all shops except PayPal accept Amazon. When I return my online purchase to Marks, the refund has arrived in my PayPal before I leave the shop. Its nit credit, but if you don't need to pay later, I find it's better. I have credit cards, and rarely use then and always pay in full. The only one I have ever had an unsatisfactory experience with is Barclays. They are impossible to contact and have very poor customer service. I think Barclays don't value customers who pay in full so I have decided to cancel mine in protest. Won't make any difference, but it will make me feel better!

My daughter won't have a credit card and had to book a hotel abroad that refused payment from a debit card. Her brother used his for her and she transferred him the money. Sometimes they are essential

i do not have any credit card's but the one time i used my bank card online i got scammed with someone taking £900 out of my account, i now only use paypal, you would need to have online banking, then all you need to do is transfer from bank to paypal, i have just used argos, but there is so many companies that accept it.

Is it worth your while getting a PayPal or Venmo account linked to your debit card in order to make online purchases? That at least means your card number is only stored in one very secure place online (never heard of PayPal having data breaches).

Topgunner Many banks will organise the transfer of your standing orders, direct debits and all so on if you move your account to them. They are aware of all the hassle of setting them up again.

I think there are a number of misconceptions on this thread

1) I have been using my credit card online to pay for goods for at least 25 years. I have never had any worries about security paying that way and it has never been a source of fraud. The same applies to my DH and my children. Any fraud tht takes place will not arise from paying online, but who you are paying it to. Use known accredited retailers and there should be no problem.

If you think just typing a credit card number online puts you at greater risk than saying it over the phone, then you are, regrettably, misinformed. Whether saying the credit card number over the phone or typing it online. If the person the other end is out to defraud you than the risk is the same. If they are not you will not be.

2) You do not need to bank online to use a Debit card to pay for things. I regularly use my debit card online to pay for things, but I have only moved over to online banking in the last month.

3) You can open a bank account online. You do not need to travel to a bank branch to do so.

4) Two thirds of all credit ard holders clear their balance at the end of each month so that alone should not be reason to stop your card.

A more likely reason is that you do not use your card frequently enough or there is not a signifcant balance to pay at the end of each month. Every time you use your card to purchase something the credit card company charges the entity - person, or company - a commission fee of up to 5%, It may be that you are just not spending enough each month to for the bank to earn enough income to cover the cost of servicing your card.

Banks are not social services, why should they supply you with a card if they cannot recoup what it costs them from any charges you pay and suppliers pay?

Ons solution could be to only have one card between you, perhaps in your name, with your DH as a second card holder, so you both have the freedom of a credit card, but only one account

We are in our 80s and have never had any problems with our credit cards - and we clear the balance every month - and, like most people, always have done.

seadragon

Is this the beginning of a National Scandal?
Both my husband and I have both had credit cards with the same company for over 10 years. We have each just received notice that our cards are being cancelled - no reason given - just an instruction to settle any balance by mid January and not make any further purchases using them. Searching on line for others affected by this, we find that, apparently, we are 'DEADBEATS' - people who pay off our accounts every month....ie not very profitable.
We are both pensioners who use credit cards for on line purchases having been given to understand they are more secure. (I prefer not to use my bank card, having chosen to have no online account anyway,,,)
My husband found he was unable to access his on line credit card account - after receiving the notification of closure - and, on telephoning the company, he was unable to access his account details there either. Instead, a recorded voice diverted him to an employee who gave him details of recent transactions verbally. The employee could give no explanation for the card account cancellation. (The recorded message had issued instructions ’to customers affected by closure' either to send an email to the company or send a letter with any queries)
To make matters worse, we live on an island off the North Coast of Scotland where connectivity is poor and choice limited. I happen to be a member of one of the Bank of England's Citizen Fora/Forums(?) but will have to jump through some more hoops before I can notify the Financial Conduct Authority...

My late husband and I have been with the same bank since the 1960's when we opened a joint account after getting engaged.

I have been reading up about this and it does state that any bank can cancel your account when they want to, some give you 30 days notice to give you time to find another bank and transfer all your details and direct debits etc over but some just stop at once and leave you in the lurch which makes direct debit and standing orders hanging about in the ether until you sort it out.

In many cases there are underlying reasons for it, but to be honest, how on earth do you sort out all your accounts and direct debits and open a new account if they cancel it immediately. Can you still access your online account, if you are not online, how do you find another bank so you can open a new account, in my area there are no banks at all and it would cost me £50 return to get a taxi to get me to one.

What a palaver.

I had the same from Santander. When I rang and managed to speak to an actual person I was told that as I did not use my card very often and paid off my account each month it was costing Santander money to allow me to keep my card. I was given 2 options. One was to cancel my credit card and the other was to keep it but agree to pay a much higher rate of interest which I thought was unfair. I cancelled my card.

And of course, Martin Lewis is always telling us to pay off our credit card balances ‘IN FULL!’.

Yep credit cards are harder to get after retirement. In fact one provider asked me details of my P60 and evidence of domestic bills. In retirement one is a little more "free" so they can ..... off
The lesson is to max out just prior to retirement get what you can afford.

Grandmabatty

It's true. He was extremely indignant and ranted about it 😂. It was a few years ago now though, so possibly things changed

It was probably because his credit score was poor. Lots of things affect your credit score, www.moneysavingexpert.com/loans/credit-rating-credit-score/#creditrating

I have two credit cards, one with Barclaycard and one with M and S. I use the M an S card more than Barclaycard and pay off both balances every month; I would miss having them if they were cancelled. My DH has an HSBC credit card which he seldom uses but he now uses PayPal for online purchases as they offer refunds if there is a problem. If my credit cards are cancelled I will use PayPal.

What is the name of the bank you are dealing with. I have read through all he comments but no bank is mentioned, I would like to go online and look this up.

Truly shocking, we need to keep cash more than ever.

Sorry @ Elegran. Went for an eye catching title as previous posts of mine have languished in the Unanswered section, including quite a scary one about a Facebook scam involving clicking on false notification/messenger links positioned just below the genuine ones...... However the title for this post is factual in fact as we are both pensioners....!

Thanks @Callipso. The product is still available and, as others have said - users who pay off the full amount tend to have their cards cancelled, tend to be the older generation and at our mid 70's are unlikely to change our practice anytime soon...!

Thanks, @Boz. DH used his credit card for food shopping as he is the chef..but for presents and other items too....

From the title I thought the post was about a bank announcing a policy of cancelling ALL credit cards held by pensioners!

Very misleading!

Thanks @Heather18. See my description, in the original post, - of 'Deadbeats'....

Quoting from [[www.ncsc.gov.uk ]]›

Chargeback vs Section 75

Chargeback is not enshrined in law but is part of Scheme Rules, which participating banks subscribe to.

If you paid by debit card: chargeback is available on all goods bought on debit card, though exact rules may vary between the Visa, Maestro and American Express networks.

If you paid by credit card: chargeback is useful if the cost of the goods or services was less than £100. For credit card transactions over £100, you have rights under Section 75 of the Consumer Credit Act.

That reads to me as Debit cards being as safe as credit cards. The government requireent to repay only comes into place if you have spent £100 or more. I rarely, if ever, spend that amount on one online purchase. most day to day, week to week, purchases are substantially less than that.

I have a credit card from a provider separate from my bank account for extra security. I do not pay on line but by telephone for similar reasons. Thank you for your suggestions, though @M0nica.

Why not 'Our Credit Cards Have Been Cancelled'; the fact that you are pensioners is surely irrelevant?

Yes, thanks, @Freya5, hence our frustration of at being deprived of our credit card just before Christmas...

Hence the title, Smileless 2012.....

Debit cards are not as safe as credit cards
Use a credit card for payments (if you have one). Many of these protect online purchases as part of the Consumer Credit Act. Debit card payments offer less protection, but you might be able to make a claim for a refund under a voluntary scheme called 'chargeback'.
www.ncsc.gov.uk › guidance
Shopping and paying safely online - NCSC.GOV.UK