Egg is asked to apologise to thousands

Internet bank Egg, who recently withdrew the credit cards belonging to 161,000 customers is being asked to apologise to those affected.

Egg claimed that the customers, who represent 7% of its 2 million credit cardholders, had a ‘higher than acceptable risk profile’. However, all of those affected have excellent credit ratings.

It is understood that Egg withdrew the credit cards because the customers did not make it enough money.

Labour MP Nigel Griffiths, a former consumer affairs minister, is to meet with Egg’s Chief Executive, Ian Kerr. Mr Griffiths said Egg has got a lot of explaining to do and Mr Kerr will be accused of dumping the customers because they paid their debts in full and so were not profitable.

However, Egg has strongly denied this and claimed that the decision was taken after an extensive credit review following the acquisition by Citigroup last May.

The Office of Fair Trading (OFT) has already been asked by Mr Griffiths to investigate the complaints, because it issues consumer credit licences to credit card companies. Egg’s job now is to prove they have an honest intention in this, he said.

They made a mistake, we need an apology and compensation for wasted credit agency checks, concluded Mr Griffiths.

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