Pre-Contract Credit Information

Version 1.0
5 December 2021

Contact details

Creditor

Keebo Limited

Address

Second Home, London Fields, 125-127 Mare Street, London E8 3SJ

E-mail address

Web address

Key features of the credit product

The type of credit

Credit Card

Total amount of credit


This means the amount of credit to be provided under the proposed credit agreement or the credit limit.

£200-£5,000, subject to your circumstances.

The credit limit is the maximum amount that you can borrow on your account. We'll set your credit limit and we can adjust it (up or down). We'll tell you your credit limit when you receive your card.

How and when credit would be provided

The duration of the credit agreement

Repayments

Your repayments will pay off what you owe in the following order

The total amount you will have to pay


This means the amount you have borrowed plus interest and other costs.

You may use the credit card up to your credit limit to make purchases (i.e. pay for goods or services) and cash advances.

It is open ended and has no fixed duration. It will continue until you or we close the account in accordance with the terms of the credit card agreement.

We’ll send you a statement each month you used your card or have a balance. On it, you’ll see a minimum payment and your total balance, which is designed to ensure that the amount owed is reducing. You must pay at least the minimum payment each month. The minimum payment must reach your account by the payment date shown on your statement. If you receive a refund after your statement date, but before your payment date, you must still make the minimum payment. 

Your minimum payment is the higher of: 

  • The interest and any fees, plus 3% of the remaining balance; and 

  • £5 (or the whole balance if it is less than £5).

You can always pay more than the minimum payment to reduce the amount you owe and the amount of interest you have to pay.

We’ll always use your payments to pay off: 

  • balances with higher interest rates before those with lower rates; and 

  • existing balances before new transactions that haven’t yet appeared on your statement.

When this agreement is made, we don't know how much you will actually pay, or the cost, because this depends on how much you borrow, how quickly you repay it and whether we make any changes to interest rates or charges or other terms (e.g. if we increase the minimum monthly payment). 

This is an example of how much you would pay if you: 

  • buy something for £1,200 with an APR (variable) of 27.98% immediately when your account is opened;

  • pay for it over 12 months with equal payments; and 
  • pay the interest you build up alongside your monthly payments. 

...then the total amount you would pay back is £1,368. This assumes that the interest rates and charges don’t change and no further transactions are made.

Costs of the credit

The rates of interest which apply to the credit agreement

Our effective annual interest rates will be from on the following tiers: 

Tier A: 19.98% per year (variable) for card purchases and cash advances
Tier B: 20.98% per year (variable) for card purchases and cash advances
Tier C: 21.98% per year (variable) for card purchases and cash advances
Tier D: 22.98% per year (variable) for card purchases and cash advances
Tier E: 23.98% per year (variable) for card purchases and cash advances
Tier F: 24.98% per year (variable) for card purchases and cash advances
Tier G: 25.98% per year (variable) for card purchases and cash advances
Tier H: 26.98% per year (variable) for card purchases and cash advances
Tier I: 27.98% per year (variable) for card purchases and cash advances
Tier J: 28.98% per year (variable) for card purchases and cash advances
Tier K: 29.98% per year (variable) for card purchases and cash advances

Card purchases cover anything you buy with your credit card, and cash advances cover any cash you withdraw using your credit card. 

Explaining Interest Rates
The effective annual interest rates above are compounding interest rates based on a simple rate.  

Simple rates:
Your simple interest rate is what we use to work out how much interest you’ll be charged. It moves in line with the Bank of England base rate. When the base rate changes, you’ll see your simple rate change by exactly the same amount. Your “simple rate” is a variable rate comprised of two components – your personal rate and the prevailing base rate. “Base rate” means the Bank of England Rate that is regularly published by the Bank of England and may change from time to time (or, if the Bank of England Base Rate is no longer published, any replacement rate that we reasonably select as the nearest equivalent rate to apply). The base rate element of your simple rate will never be less than 0%.

Compounding interest:
We use your simple interest rate to work out the interest we charge you. If you don’t pay your balance in full each month, we’ll charge interest on interest. We calculate the interest charge on unpaid transactions daily and then add the interest to your account every month, this is called 'compounding' interest. Because this rate includes the payment of interest on interest, it will be greater than your simple interest rate.

Balance transfers: 
We don’t currently offer balance transfers. 

Letting you know about changes: 
We may change the interest rates we charge as set out in the credit card agreement. This includes if we change our view of your ability to repay us, for example, where there's a change in your circumstances. The simple rate will also change in line with changes in the base rate. If we're changing your interest rate because the base rate has changed, we will tell you of this on the monthly statement before the change takes effect. If we’re increasing your interest rate because we are increasing your personal rate, we'll give you at least 60 days' advance notice of the change. We'll do this by including a message in your monthly statement, by emailing you separately, or in any other lawfully permitted manner. However, if a change benefits you, we may make it immediately. 

Why might we change this agreement: 
We may change the rates and fees, introduce new rates and fees or update this agreement at any time because of: 

• The cost of providing the card and our services; 
• Changes to laws, regulations, banking practices or other external factors; 
• The need to operate our business profitably and soundly; or
• Your credit risk assessments in the future.

We may make other changes.

Annual Percentage Rate of Charge (APR)


This is the total cost expressed as an annual percentage of the total amount of credit.

The APR is there to help you compare different offers.

The APR is 27.98% representative (variable) for card purchases and cash advances. 

The APR is calculated using the same assumptions as for calculating the total amount you will have to pay above.

Related Costs

Any other costs deriving from the credit agreement

You'll pay the following charges, where applicable. We have the right to waive all or part of any fee which applies to your account:

Cost for cash advances
2.5% of the amount of each cash withdrawal you make in the UK, but we’ll charge a minimum of £2.50 each time. 

Cost for transactions in a foreign currency
2.5% of the amount of each transaction you make in a foreign currency, but we’ll charge a minimum of £2.50 each time. 

£5.00 failed payment or returned payment 
We may charge this if your Direct Debit doesn’t go through properly.

Conditions under which the above charges can be changed

We may change our charges for the reasons set out in your agreement. We'll give you at least 30 days' advance notice of the change, unless the change is not to your disadvantage. In this case, we'll give you notice but we may make the change more quickly. We'll always give you details of when the change will take effect. If you don't want to accept any change, then you can always end this agreement by paying off all the amounts you owe us and telling us to close your account. If you don't do this, we'll assume you've accepted the change.

Costs in the case of late payments

Consequences of missing payments.

£5.00 Late payment fee 
We may charge this if your minimum payment doesn’t reach us by the payment date given on your statement. Even if you’ve made a payment, we may charge this if: 

  • the payment doesn’t clear by the payment date; or

  • you’ve paid less than the minimum payment amount we ask for.

If you fail to make the minimum payment in full on its due date, you’ll have to pay the missed payment fee of £5.00 each time you fail to make the payment – that is each month a minimum payment is due and not paid in full. 

We will record the details with a credit reference agency which may negatively impact your credit score and may make it more difficult or more expensive for you to borrow in future. 

If we’re unable to resolve the matter, we may give you a default notice explaining the situation and giving you at least 14 days to try and correct it. If you don’t make the payment within the time we give you, we can ask you to pay back the whole balance, all interest, fees and other sums payable under this agreement immediately, or we might sell your debt, and the buyer may follow similar processes. 

  • We could take legal action against you to secure repayment and the court could order you to pay the debt directly from you wages and you might have to pay our legal costs as well.

  • If you live in England or Wales, the court could order that your home is sold to repay us.
  • If you live in Scotland, the court could order that you cannot sell your home or secure further debt on it.

Other important legal aspects

Right of withdrawal

You have the right to withdraw from your credit card agreement up to 14 days after you have signed your agreement.

Early repayment

You can repay all, or part, of the amount you have borrowed at any time.

Consultation with a Credit Reference Agency

Right to a draft credit agreement

The period of time during which the creditor is bound by the precontractual information.

If we reject your application because of information we receive from a credit reference agency about you, we will tell you as soon as possible and will give you their contact details so that you can get more information.

You have the right to request a copy of the draft credit agreement free of charge, unless your application has been declined. 

The information on this form is valid for 30 days. We cannot guarantee that the terms would be exactly the same if you applied for a credit card on a different date.

Additional information in the case of distance marketing of financial services concerning the creditor

Registration number

Our company registration number is 12227891. Our reference numbers are FRN 915914 for consumer lending and FRN 916866 to carry out payment services activities.

The supervisory authority

We are authorised and regulated by the Financial Conduct Authority (FRN: 915914) for consumer lending and (FRN: 916866) for payments services. 

The Financial Conduct Authority’s address is 12 Endeavour Square, London, E20 1JN.

Concerning the credit agreement

The law taken by the creditor as a basis for the establishment of relations with you before conclusion of the credit agreement

The laws of England and Wales.

The law applicable to the credit agreement and/or the competent court

The agreement is governed by the laws of England and Wales and disputes shall be subject to the non-exclusive jurisdiction of the courts of England and Wales.

Language to be used in connection with the credit agreement

All communications from us to you (including the documents containing the terms of the agreement between you and us) will be in English with your consent.

Concerning redress

Access to out-of-court complaint and redress mechanism.

If you have a complaint and we do not deal with it to your satisfaction, you have the right to complain to the Financial Ombudsman Service. 
You can contact the Financial Ombudsman Service and find out more about their service:

Adequate explanations document

Key information relating to the Keebo credit card 


We have produced this document to provide you with key information about the Keebo credit card to help you to assess whether it meets your needs before you sign the credit card agreement. 

Please read the Pre-Contract Credit Information above and carefully consider its content. The Pre-Contract Credit Information sets out summary information about the characteristics of Keebo's credit card.

Key information

Linked accounts

In order to be eligible for a Keebo credit card, you must link at least one current account with an eligible financial institution in the UK to your Keebo account. We use linked accounts to preform credit checks on you and for direct debit payments. 

Suitable usage 

The Keebo credit card provides you with a revolving credit facility to utilise on an ongoing basis. Due to the revolving nature of a credit card, it is not a suitable form of long-term credit if you are unable to make significant repayments towards outstanding balances as this can result in sustained debt over a long period. 

Given that you must link at least one current account to your Keebo account, a Keebo credit card will not be suitable if you do not wish to:

  • link at least one current account to your Keebo account;
  • share your banking and transactional data with us; or 
  • repay us via direct debit from the linked account you designate via the Keebo app. 

Minimum repayment 

The minimum monthly repayment you are required to make under the credit card agreement will be the higher of the interest and fees (plus 3% of the outstanding remaining balance) or £5. 

If you only make the minimum payment each month, it will take you longer and cost you more to clear your balance. We recommend that you should aim to pay more than the minimum payment in each month, since this will clear your balance sooner so you will pay less interest. 

Payment method 

We use direct debit to collect payment of, at least, the minimum monthly repayment amount from the linked account you designate via the app. 

You must have at least one direct debit set up via the app to make payments. If you want to cancel future direct debit payments, you must let us know no later than ten working days before the payment is due. If you cancel all direct debit payments, we will freeze your credit card and you will not be able to use the card or make payments with your card until you add at least one direct debit to an eligible linked account (excluding any linked savings accounts).  

Interest rates and charges

There are no annual card membership fees associated with the Keebo credit card. 

There are different ways to use your Keebo credit card and different interest rates and charges apply to these (we tell you more about these in the agreement). The interest rate we charge you for card purchases and cash advances are the same, but using your card to withdraw cash or making a transaction in a foreign currency is more expensive than using your card for purchases. If you:

  • withdraw cash, you’ll pay a fee of 2.5% on the cash amount (minimum £2.50); or
  • make a payment in a foreign currency, you’ll pay a fee of 2.5% on the transaction amount (minimum £2.50).

We can change our rates and charges but we'll tell you about the change and how it will affect you before we make any change. 

If we're changing your interest rate because the Base Rate has changed, we will tell you of this on the monthly statement before the change takes effect. If we’re increasing your interest rate because we are increasing your Personal Rate, we'll give you at least 60 days' advance notice of the change. We'll give you 30 days' notice for all other changes (unless they're to your advantage, in which case, we may make the change sooner). 

If you don't want to accept an interest rate increase, you can close the account and pay off the amount you owe at the unchanged rate. If you're eligible for a promotional rate or financial relief rate offer, the interest free or reduced interest period will last for the period we tell you, after which the standard rate will apply.

Consequences of missing payment 

Please note that failure to make payment of, at least, the minimum monthly repayment amount on time may result in the following:

  1. the total cost of your debt growing;
  2. incurring late payment fees;
  3. suspension of your Keebo credit card;
  4. termination of the credit card agreement; 
  5. impairing your credit rating as we report credit performance to credit reference agencies on a monthly basis. An impaired credit rating can affect future access to or cost of credit; and
  6. taking legal action against you.

Your right to cancel

You have the right to cancel this agreement without giving a reason within 14 days beginning the day after the day we confirm your credit card has been set up. If you cancel this agreement, you must pay us the balance on your account and any interest within 30 days from the date of cancellation. If you do not do this, we may recover it as a debt through the courts. You can exercise your right to cancel by contacting us on support@keebo.com

Please take the time to read this document carefully and do not hesitate to ask us any questions you may have about the Keebo credit card. For further information or if you require an explanation of anything relating to the Keebo credit card, you can contact us by email on support@keebo.com.