Thread: Help Vs Egg: What Can We Claim Back?

On card accounts the only reclaimable unlawful penalty charges are £20 or later £16 for Overlimit and Late Payment. The monthly debit interest accrued against these unlawful charges are also reclaimable. When you get your card statements, simply itemise the amounts reclaimed in a spreadsheet. 2 letters in plain English will suffice. Provided your itemised reclaims are correct, Egg no longer obstructs or delays repayment. See V-E Day thread.

Cannot remember Egg having monthly fees. Cash advance and card protection fees are universal and lawful service fees.

Debit interest will be listed on each monthly statement. However the interest accrued from unlawful charges is mixed up with interest accrued from lawful spending etc.

Easiest to fill in a spreadsheet with one row per month, including a column for the fluctuating monthly interest rate applicable to that month. The unlawful debit interest = (unlawful charges + unlawful interest) carried forward from the previous month.

If in any month you paid off all or most of the debit balance, then the unlawful accruals will cease in that month, i.e. you cannot claim back interest which Egg never physically put onto your account.

Getting awfully mixed up with lawful spending and lawful charges, the computation of unlawful interest will never be completely accurate. It is not rocket science, and I doubt if Egg will dispute the difference of a few pounds here or there.

Right now claimants are getting repaid 100% of charges and interest. This situation will not last forever -- nobody said Egg should NOT levy a charge when the contract is breached by non-payment or overlimit, claimants simply say £20 and £16 were too high and therefore unlawful. One day a lawful figure will be agreed, say £3 or £5 or £10, and then nobody will get full refund any more. Strike while the iron is hot.

Egg's monthly statement would explicitly declare what the current debit interest rate was at the time, say 1.87% per month, it would have risen past 2% now.

If your previous month's balance was £100 in debit, then the following month would show debit interest of £1.87. it's not that precise, as cash advance interest rate is slightly higher than purchases interest rate, but your unlawful charges are likely to have accrued interest at the purchases interest rate. In short:

previous month's balance x current monthly interest rate = current month's debit interest accrued (and shown on current month statement)

There are additional complications about at what time of month the purchases and unlawful charges started accruing interest, and when you partially repay your balance, does it wipe out purchases first, or charges first. As I said, this is not rocket science, and even Egg human managers cannot work out the precise computations accurate to the penny. Only IT systems can do that.

For your reclaim then:

(previous month's new charges + even older charges + unlawful interest accrued up to that point) x current month debit interest rate = current month's new debit interest.

This month's new unlawful interest will then join the rolling bandwagon of the sum of the aforesaid 3 items, and the entire bundle will accrue unlawful interest the following month. A lot easier if you know elementary excel, but for a few charges you could compute manually, but be sure to do this month by month, so you can check the plausibility of figures, and cross-check against debit interest actually shown as levied by Egg.

As I said, I so not believe Egg will split hairs, so long as you produce your monthly computations. Near enough would be good enough, has been for others.

GL.