Not upheld: interest charges during promotional period, credit limit reduction, billing frequency, credit file reporting complaint against Clydesdale Bank Plc trading as Virgin Money

Decision detail

Summary

Miss N complained to Virgin Money about multiple issues including a credit limit reduction of over £6000, interest being charged during a promotional 0% period, receiving two statements in August 2025, and credit file reporting of a missed payment. Virgin Money did not uphold the complaint, and the ombudsman upheld Virgin Money's position. The ombudsman found that the credit limit reduction was permitted under the terms and conditions, the promotional rate was correctly removed because Miss N missed the minimum payment due date of 10 August 2025 (despite telling Virgin Money she would pay by 26 August), and the two statements resulted from Miss N's own request to change the statement date from the 20th to the 10th of each month. The ombudsman concluded that Virgin Money had not made any errors or treated Miss N unfairly.

The Ombudsman's reasoning

The ombudsman found that Virgin Money acted in accordance with its contractual terms and conditions in all respects. The credit limit reduction was permitted under Section 4.5 of the terms. The removal of the promotional 0% interest rate was justified because Miss N failed to make the minimum payment by the due date of 10 August 2025, which triggered Section 7.5 of the terms allowing withdrawal of promotional rates. The two statements issued in August were a direct result of Miss N's own request to change the statement date, and the statements did not overlap in payment periods. The ombudsman noted that Virgin Money's gesture of waiving interest for two months was fair and reasonable.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website