Fuming Egg customers have bombarded internet message boards with complaints after 160,000 people were banned from using their credit cards.

Egg's move was seen as a wise move to curb overspending in the light of worsening economic conditions and a credit crunch.

But 100s of people have claimed that they are not a credit risk, pay off their balance every month, and have been dropped for being unprofitable.

“The motives of Egg need clear explanation if this is a case of them ditching long-standing creditworthy customers because they make no money out of them,” said chairman of the Treasury Select Committee, John McFall. “Perhaps this is an issue that requires an Office of Fair Trading investigation.”

Egg has decided to drop seven per cent of its credit card customers, but now faces a major public backlash.

“This is more than an amazing PR blunder,” said Lib Dem councillor Peter Thornton who has had his card cancelled. “They're on the radio saying it's just bad risk people they're getting rid of. I feel slandered by that.”