Lloyds to penalise Access late-payers

THOSE with Lloyds Bank Access cards could face charges if they overstep their credit limits or pay their bills late.

The charges will be at the discretion of Lloyds Bank Card Services, which may levy pounds 10 per statement period for breaching a credit limit without permission.

There is an identical charge for late payment of a bill, and bouncing a cheque or direct debit will cost pounds 5.

The charges are being introduced from July.

Lloyds is also introducing fees for other credit card services. Copies of old statements will cost pounds 6 each from July and copies of sales vouchers will cost pounds 5, unless it is proved that an error has been made on the transaction. Receipts for postal payment will be charged at pounds 2.

From 1 June, Lloyds will cut its Access interest rate from 1.65 per cent a month to 1.6 per cent. This reduces the APR from 23.1 to 22.4, including the card's pounds 12 fee.

Interest rates are being trimmed from 8 May on Burton Group store credit cards operated by The First Personal Bank. The rate on the Option Account will be 26.8 per cent (APR) for those paying by direct debit. Cardholders paying by other means will be charged 29.8 per cent APR. All Budget Account customers will pay 32.1 per cent APR.