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  • FIRST POST
    millymooo
    aqua card is increasing my APR by 10% !!! Help!
    • #1
    • 30th May 15, 9:36 AM
    aqua card is increasing my APR by 10% !!! Help! 30th May 15 at 9:36 AM
    I have held an aqua credit card for a few years now, with a starting limit of £450. They have increased my limit steadily and it is now £4300 with an APR of 38.9%

    I have just received a letter from them telling me that on July 1st 2015 they will be increasing my APR by 10% bringing it to 48.9% !
    The letter states that if I am not happy with that then they will close my account and set a repayment amount to clear the debt.

    I am very angry at this. Surely it cant be legal for them to increase my APR by such a huge amount? is there anything I can do other than cancel my card?
Page 2
    • David301
    • By David301 31st May 15, 7:50 AM
    • 200 Posts
    • 419 Thanks
    David301
    It's daunting that, according to this calculator, it will take 32 years to clear the debt with interest totalling £10,292 if only minimum payments are made.

    OP - close the account and freeze the interest, then throw as much money at card payments as and when you can.
    Originally posted by SnowTiger
    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.
    • SnowTiger
    • By SnowTiger 31st May 15, 11:50 AM
    • 3,052 Posts
    • 2,016 Thanks
    SnowTiger
    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.
    Originally posted by David301
    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
    • By David301 31st May 15, 12:08 PM
    • 200 Posts
    • 419 Thanks
    David301
    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.
    Originally posted by SnowTiger
    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

    • Anthorn
    • By Anthorn 5th Jun 15, 9:07 PM
    • 3,140 Posts
    • 809 Thanks
    Anthorn
    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
    • By Whytetwns 16th Mar 17, 11:38 PM
    • 16 Posts
    • 0 Thanks
    Whytetwns
    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
    • By Caz3121 17th Mar 17, 12:16 AM
    • 10,810 Posts
    • 7,043 Thanks
    Caz3121
    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
    Originally posted by Whytetwns
    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
    • By Whytetwns 17th Mar 17, 4:17 AM
    • 16 Posts
    • 0 Thanks
    Whytetwns
    Yeah I suppose I can just put full payment
    • Whytetwns
    • By Whytetwns 17th Mar 17, 4:19 AM
    • 16 Posts
    • 0 Thanks
    Whytetwns
    I have the aqua advance card I'll pay full balance the 400 pound next month
    • Ben8282
    • By Ben8282 17th Mar 17, 4:42 AM
    • 2,038 Posts
    • 891 Thanks
    Ben8282
    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
    • By Whytetwns 17th Mar 17, 7:41 AM
    • 16 Posts
    • 0 Thanks
    Whytetwns
    Apologies I'll remember next time make new tread
    I am new to this site will figure it out
    • PeacefulWaters
    • By PeacefulWaters 17th Mar 17, 8:05 AM
    • 6,974 Posts
    • 8,587 Thanks
    PeacefulWaters
    Yeah I suppose I can just put full payment
    Originally posted by Whytetwns
    Don't just casually suppose. Paying interest is a mugs game. Clear the balance in full EVERY month.
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