A classic rip-off?

By THIS IS MONEY
Updated:

 

If a high street bank offers a range of credit cards with differing APRs do they have a duty to inform their customers of the most economical choice? I ask this because I have just cancelled my Lloyds TSB Classic Reserve credit card. The operator dealing with my request told me that the 20.4% APR on this card was one of the highest among the cards that Lloyds provides. GW, Banbury, Oxon

Brian Capon of the British Bankers' Association says: Yes, indeed it can. There is no obligation on banks to tell you that some of their credit cards offer better rates than others. With savings accounts the banking code requires banks to send you a full list of their savings products once a year, complete with rates, so you can see if there is a cheaper alternative to the product you have, but the same rule does not apply in the case of credit cards.

Linda Whitney adds: The recent banking review did nothing to force banks to reveal that they have better credit card deals than those held by many customers. Sad but true - you just have to check the situation for yourself.

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