I applied for an MBNA loc to finance a compaq laptop and was approved, but because of my income debt ratio, they gave me a high interest rate. I asked if I could negotiate after a few months of on time payments and was told yes. My question is, has anyone dealt with them regarding interest rates, and is this loc transferrable--meaning, is it an actual credit card or just a loc.
When i was getting a computer from gateway i was approved for a loan from mbna..My intrest was 18.99& Variable..I tired several times to have it lowered and they would not budge..After a year i just transfered the rest to my CC.
I had the same to buy a Gateway computer. The approved me for $4,500 for the purchase. I paid it off with no lates and requested changing it a credit card after I was done paying, they told me I will have to re-apply and they also had to pull a hard inquiry. I declined their offer.
That loc is actually called gold option account or something like that. No, they don't let you negotiate the apr. Hard to pay of balances. good thing about the account is that you get access checks. you don't have to buy from gateway, you could use the money to buy from another vendor if you wanted.But they do pull a hard inquiry everytime you use a access check. That sucks.
I guess i cant complain about it to much because that was the second company i ever delt with..My first was providian then them with no negatives at all on report.,But i figure after 6 months of on time payments they could of took a couple points off..I would deal with them again i would just make sure it was at a rate i was comfortable at.
I shouldn't be complaining either. But I really should point out that the high apr makes it hard to payoff the loan.
I would say that you probaly received what is called a Line of Credit Loan Through MBNA that is called a Gold Option Loan.. They are used a lot to finance Computers whether it is through Gateway or Compaq. I would dare to say that your Interest rate is somewhere between 24.98 to 28.98%, maybe lower if your credit history has depth and no delinquency ect.. In regards to the Debt to Income.. The way that it is established, It should be 25% or Under... The higher the more The interest rate can be.. The way that The Debt/ Income is figured.. Take your total balances of just your revolving debt.( not Mortgages, Car Loans or Installment loans.) And divide that you your Gross Income.. Example. Total amount of rev debt balances that you owe. 8500.00 annual gross income 40000.00 Divide the Gross income by the Total amount of your revolving balances.. In this case your debt to income would be around 21.5% which is ok..
My revolving debt to income ratio is less than 20%, however I've opened several new accounts in the past 6 mos so my credit score hovers around 630-640. They offered 3500 at 27.99%, and I would risk it if they would negotiate, but I'm not about to get into this for the long haul. I guess I'll just have to try another route.
