reducing interest rates on my cards

money65

Scenario:
3 credit cards
I don't use them, I am just paying off old balances
I pay minimum by direct debit which I set up last year
I write additional cheques each month for each one depending on what I can afford, aiming to pay them all off in next 18 months
I am set up on electoral roll
I have reasonable credit rating and have checked with Experian

Complication:can't get any new cards due to a joint mortgage payment related to a home business although lenders say they are happy with personal outgoings relating to my personal home mortgage, this additional business mortgage is a sticky point unless I make a joint application.

Problem: I have been phoning round the credit card providers to ask for the best interest rate on my cards with the following results:

Capital One: "we have a department that sends out letters about rate reductions and if it was appropriate you will get a letter - we cannot reduce rates"

Clydesdale:" due to late payments on your account 11 and 14 months ago we cannot reduce interest rates for you" regardless of my current direct debit now in place

Royal Bank of Scotland:"we currently have no offers available for your credit card, if you call back at any time there may be an offer available"

Lloyds TSB: I gave up at this point

Typhoon2000

money65 wrote: »

Scenario:
3 credit cards
I don't use them, I am just paying off old balances
I pay minimum by direct debit which I set up last year
I write additional cheques each month for each one depending on what I can afford, aiming to pay them all off in next 18 months
I am set up on electoral roll
I have reasonable credit rating and have checked with Experian

Complication:can't get any new cards due to a joint mortgage payment related to a home business although lenders say they are happy with personal outgoings relating to my personal home mortgage, this additional business mortgage is a sticky point unless I make a joint application.

Problem: I have been phoning round the credit card providers to ask for the best interest rate on my cards with the following results:

Capital One: "we have a department that sends out letters about rate reductions and if it was appropriate you will get a letter - we cannot reduce rates"

Clydesdale:" due to late payments on your account 11 and 14 months ago we cannot reduce interest rates for you" regardless of my current direct debit now in place

Royal Bank of Scotland:"we currently have no offers available for your credit card, if you call back at any time there may be an offer available"

Lloyds TSB: I gave up at this point

Scenario, Complication, problem - but what is the question?

izools

You'll find it hard to get reductions on existing cards especially with those lenders.

Capital one are famous for ruthelessly rate jacking people to abominably high APRs - my mother for example who has held a Capital One VISA for 10 years and never missed a payment in that time had her APR increased to 38.9% in December. Needless to say the a/c is now closed.

RBS have been steadily increasing the headline APR of their cards for some time now. Two years ago they offered the Classic card at 12.9%, then 13.9%, then 15.9% then 16.9% and now 19.9%... seems the last thing they will do is reduce an APR.

Lloyds are probably your last best chance at getting a reduction TBH, either way though don't hold your breath ad good luck

YorkshireBoy

You may find you get better offers with a zero balance. Can you switch some debt around to create an empty card?

Also, don't understand your "joint application" statement. There's no such thing as a joint credit card. The primary cardholder has sole responsibility for all debt on the card.

Re your "can't get any new cards" statement, have you tried?

money65

Typhoon2000 wrote: »

Scenario, Complication, problem - but what is the question?

Not sure myself - was just putting my frustration in writing, apologies if it didn't make sense.

money65

YorkshireBoy wrote: »

You may find you get better offers with a zero balance. Can you switch some debt around to create an empty card?

Also, don't understand your "joint application" statement. There's no such thing as a joint credit card. The primary cardholder has sole responsibility for all debt on the card.

Re your "can't get any new cards" statement, have you tried?

Yes thanks, I'll try some switching around.

The joint application refers to a personal loan application to try and pay one of my cards off. My personal outgoings seemed to be rated fine but refusal came because of a joint mortgage held aginst a business, even though my partner makes the monthly payments, it is listed on my credit report so they said I would have to make a joint application for any loan.

Haven't tried any other cards as I thought I would have to wait a few months as I had just had a refusal on the loan attempt and they would also be likely to refuse and say the same about my skewed monthly outgoings even though my personal outgoings are realisitic.

Typhoon2000

Yes its usally easierto get a lower apr with a new card than it is to lower an existing one. Even with the same lender. I am back upto 3 MBNA cards. The new one 0% then 15.9% while my existing 2 have been rate jacked to 34.9% (no balance carried on any interest bearing card now).

money65

YorkshireBoy wrote: »

You may find you get better offers with a zero balance. Can you switch some debt around to create an empty card?


Re your "can't get any new cards" statement, have you tried?

just been accepted for Bank of Scotland all in one card so I can do some switching - thank you for suggestion of trying, I was all set to wait 3 months.........................:T

izools

money65 wrote: »

just been accepted for Bank of Scotland all in one card so I can do some switching - thank you for suggestion of trying, I was all set to wait 3 months.........................:T

Good offer? Healthy limit? Oh, and of course, well done! :beer: