Freezing credit card interest??

summerlovin_2

Hi, I'm new here and after a bit of advice. My credit card company recently wrote to me to inform me they were changing my credit limit on my card altho i'm not really bothered about this I'm really struggling with repayments each month and then with interest on the top I'm not getting anywhere near to paying it off. So my question is as they have ammended my contract would I be within my rights to send them my card back asking them to freeze my account, I will no longer use it and agree on a lower repayment as I am in financial difficulty?

Thanks in advance

stephane_2

summerlovin wrote: »

Hi, I'm new here and after a bit of advice. My credit card company recently wrote to me to inform me they were changing my credit limit on my card altho i'm not really bothered about this I'm really struggling with repayments each month and then with interest on the top I'm not getting anywhere near to paying it off. So my question is as they have ammended my contract would I be within my rights to send them my card back asking them to freeze my account, I will no longer use it and agree on a lower repayment as I am in financial difficulty?

Thanks in advance

You could call them and explain your situation & see what they say, but otherwise the only way to freeze interest is when your credit card provider advise you of an increase in your interest rate, then you have the option to op-out within 30 days, which mean that you are still repaying the debt at the current rate but not able to use the card.

Tixy

Hi summerlovin.

Usually a creditor would only freeze interest if you enter a DMP (be that with a company or self-managed).

They would expect you to treat all your unsecured creditors the same (ie pay less to all of them and to be able to prove you cannot meet your minimum repayments on all your existing debts). If you go on a DMP it will have a serious impact on your credit file as you will most likely be defaulted by most of your unsecured debts. Even then freezing interest is not guaranteed as although you can put in a request it is entirely up to the lender whether they agree to do so.