credit card debt can't pay

MoneyProbs_2

Hi,

My girlfriend and I are having a baby soon and she has recently told me about her credit card debt. She has had the card for about 8 years and hasnt spent anything on it in 3 years as she maxed the card to its £5k limit. Since then she has been paying £200 per month to what she thought was reducing the balance as it was always more than the minimum payment. However, i have now found out that the interest rate has increased to 36% and the balance is now increasing and has recently breached her £5,300 limit. She has spoken to MBNA and asked for help in reducing the interest rate but they have stated that the only way she is elligable for a reduced rate is if she is in financial difficulty. Since she is not in the difficulty level they require they were not prepared to do anything. She is willing to reduce the balance quickly if they will reduce the interest rate but 36% is crippling her. £130 a month in interest is what they charge but if she was in financial difficulty it would be 0%. Only problem is you have to send over all bank statements to prove financial difficulty and poverty.

Can anyone help and how does we get her balance reduced to a fair rate. She has probably paid back her original balance in interest!

I'd be grateful for any input.

Hannah_10

To worried and sick read this Honey... http://forums.moneysavingexpert.com/showpost.html?p=35876867&postcount=1

Also bear in mind, it's not fraud unless your husband says it is. I'm sure he wouldn't want to do that to you. When you sort out a debt management plan (how to repay your debts on the money you have) then simply do it in joint names, that solves that really easily. As regards that you weren't working, they have no interest in persuing you for fraud, what would it gain? Nothing. They only care about money, it's all about the pounds and pence. Get a DMP sorted out and you'll be fine.

To MoneyProbs, best to start a new thread so you don't get lost and forgotten on the end of this one. If you don't know how to do that click this link, it'll open a box, just put into it a title and what you said above and click "Submit New Thread". http://forums.moneysavingexpert.com/newthread.php?do=newthread&f=76

stuff2move

Hi I came across a site that told people to write and ask for the original agreement and a list of things that by law need to be on the agreement chances our that you may find your card companys cant find your agreement if this is the case the site says that you can walk away its worth a try (make them work for it)

I cant recall site but used google to search ( cant pay credit card depts ) and found it in the top 3 sites.

I to have huge depts and have only just started to except the fact that my head need to be above the sand Face them head on.
you never know.

best of luck with it.

BigCraigJohn

Stuff2move. Sites ran by an ex member on here.

http://forums.all-about-debt.co.uk/viewtopic.php?f=65&t=641

Only really applicable to accounts opened pre 07 and you will get your credit rating clobbered and be chased for the debt. Certainly worth a look though if it helps get things under control.

OP I would certainly keep hush if your partner is ok with that.