Asking the credit card company to freeze interest

ste_coxy

Hi guys, I am wondering what people's experiences have been when asking credit card companies for a freeze on interest.

I seem to be getting no where paying mine back and I am considering asking them to freeze the interest for me so it will help me finally get them paid and closed off.

Are credit card companies normally welcoming when this is asked? Does it show up on your credit file?

Any info much appreciated.

Moggles_2

Does it show up on your credit file?

Yes, it would be marked as "arrangement to pay" on your credit file and that would affect your ability to obtain credit for 6 years. While you're meeting the minimum payments, your credit rating remains unaffected.

Have you tried asking each of your cc providers to reduce your interest rate(s)? (You can do this over the phone.) You may be able to cut your costs considerably. For more tips, see Martin's *Credit Card Shuffle*article

http://www.moneysavingexpert.com/car...-card-interest

Also, you may want to post again on the *Debt-Free Wannabe* board. You'll get lots of advice and support there

http://forums.moneysavingexpert.com/forumdisplay.html?f=76

ste_coxy

Moggles wrote: »

Yes, it would be marked as "arrangement to pay" on your credit file and that would affect your ability to obtain credit for 6 years. While you're meeting the minimum payments, your credit rating remains unaffected.

Have you tried asking each of your cc providers to reduce your interest rate(s)? (You can do this over the phone.) You may be able to cut your costs considerably. For more tips, see Martin's *Credit Card Shuffle*article

http://www.moneysavingexpert.com/car...-card-interest

Also, you may want to post again on the *Debt-Free Wannabe* board. You'll get lots of advice and support there

http://forums.moneysavingexpert.com/forumdisplay.html?f=76

Thank you for this advice. I already have an agreememnt with my loan provider (Egg) who have frozen the interest on my loan and I am now on reduced payments £127 instead of £355 and so, I'm guessing this will already have shown up on my credit file.

albeblue

If you cancel the card/the account they will freeze the interest rate until the debt is paid off. Have you thought of doing this?

Any

albeblue wrote: »

If you cancel the card/the account they will freeze the interest rate until the debt is paid off. Have you thought of doing this?

What you mean by "freeze" is "stay the same as at the time of closing".
Where I don't think that is what the OP meant... ?

Moggles_2

albeblue wrote: »

If you cancel the card/the account they will freeze the interest rate until the debt is paid off. Have you thought of doing this?

That's right, but the OP was considering requesting a freeze on interest, not a freeze on the interest rate.

Sometimes, simply calling and asking for an interest rate reduction works. This is definitely worth a try first.

Moggles_2

ste_coxy wrote: »

I already have an agreement with my loan provider (Egg) who have frozen the interest on my loan and I am now on reduced payments £127 instead of £355 and so, I'm guessing this will already have shown up on my credit file.

Before reaching a decision, I'd check your credit reports to see what's actually on there. For help, see page 1 of the *How to obtain credit reports* sticky

Very best
M