aqua card is increasing my APR by 10% !!! Help!

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Comments

  • SnowTiger
    SnowTiger Posts: 4,458 Forumite
    First Anniversary Name Dropper Photogenic First Post
    David301 wrote: »
    I would say it is safe to assume that for every £5 the OP has paid off the balance, £6 has been spend back on it, hence the huge debt on such a high interest card.

    In this scenario it may not be affordable to the OP to close the card unless they look at the monthly finances and cut the cloth to fit.

    I think Aqua have just created a rock and a hard place for the OP to sit between.

    LOL.

    The credit limit is £4,300 and the balance is £3,900.

    Paying an extra 10% interest for access to the remaining £400 credit wouldn't be very MSE.
  • David301
    David301 Posts: 234 Forumite
    SnowTiger wrote: »
    LOL.

    The credit limit is £4,300 and the balance is £3,900.

    Paying an extra 10% interest for access to the remaining £400 credit wouldn't be very MSE.

    Haha - I think you missed the point.

    Aqua are not going to give the OP forever to clear this balance so the monthly repayments would go up significantly.

    To run up such a big amount on this card OP pays off less than the monthly spend that they are putting on it. Reason for this the OP is living beyond the means.

    OP requests to close the account aqua double the monthly payments, OP cant afford them

    Speculation on the circumstances of course

    MSE advice - Apply for a 34 month balance transfer card from HSBC and pay £115 per month for the duration to clear the outstanding amount. Cut up aqua card and never use it again.

    That answer is based on speculation that the OP does in fact have a good credit rating and can receive this offer

    :D
  • Anthorn
    Anthorn Posts: 4,362 Forumite
    First Post First Anniversary Combo Breaker
    I don't agree that in the case of Aqua using a credit limit results in a greater risk. My own experience of Aqua is the reverse of that.

    When you first signed up with Aqua you gave them permission to read your credit history at that time and any time they want without informing you. Aqua does exactly that. So provided you haven't missed a payment, paid late or gone over limit then you should look at your other accounts and how you have managed them. Get your credit reports. What is evident is that Aqua have decided that you are a higher risk and have increased the APR accordingly.
  • Whytetwns
    Whytetwns Posts: 29 Forumite
    Hi all I just got my aqua card a week ago this is off topic but what credit limit increase can I expect on my 4th statement

    I am only using aqua to build beter credit rating

    I asked them to set my direct debt to 45 pound as month and won't use more than 400 pound of my limit my limit is 900 pound
  • Caz3121
    Caz3121 Posts: 15,542 Forumite
    Name Dropper First Anniversary First Post
    Whytetwns wrote: »
    Hi all I just got my aqua card a week ago this is off topic but what credit limit increase can I expect on my 4th statement

    I am only using aqua to build beter credit rating

    I asked them to set my direct debt to 45 pound as month and won't use more than 400 pound of my limit my limit is 900 pound

    If you are using this for credit building only, should your dd not be for the full amount? If you only pay £45 off £400 you will soon start amassing stacks of interest. If you want to pay £45 per month to the card you should only spend £45 on it
  • Whytetwns
    Whytetwns Posts: 29 Forumite
    Yeah I suppose I can just put full payment
  • Whytetwns
    Whytetwns Posts: 29 Forumite
    I have the aqua advance card I'll pay full balance the 400 pound next month
  • Ben8282
    Ben8282 Posts: 4,821 Forumite
    Combo Breaker First Post Newshound!
    It makes no sense to set up a fixed amount direct debit in this situation.
    If you spend £45.01 in one month you will end up paying interest on the whole amount for at least 2 months the sake of 1p.
    If you intend to make full repayment, change to direct debit to full repayment.


    Also, if you have a new question it is customary to start a new thread and not to add your question to the bottom of a 2 year old thread.
  • Whytetwns
    Whytetwns Posts: 29 Forumite
    Apologies I'll remember next time make new tread
    I am new to this site will figure it out
  • PeacefulWaters
    PeacefulWaters Posts: 8,495 Forumite
    Whytetwns wrote: »
    Yeah I suppose I can just put full payment

    Don't just casually suppose. Paying interest is a mugs game. Clear the balance in full EVERY month.
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