No point in having good Credit Rating - I'm going to deafault !!

fozmcfc

My mate had a Barclaycard and despite the fact he only ever used to work odd weeks here and there, he still used to pay at least the minimum on the card.

Barclaycard just kept on upping his limit, which went from £500 to £4000 in the space of about 3 years. But he never went near the limit, because he knew if he did he couldn't afford it.

It's the customers responsibility to make the decision as to whether you can afford to go up to the limit.

I'd be very frightened to have such a debt, earning the OP money a year. Hell it frightens me to have £8000 on cards/loans despite the fact my salary is roughly £28k after tax a year

no_more_cards_for_me

The OP seems pretty fixed in their views- I earn £15k so should have unlimited credit to do what I want. Anybody who doesn't agree with that is an idiot and underwriters don't have any common sense when it comes to financial decisions.

Clearly from their posts they are financially overcommitted, with the credit card and the overdraft the OP is at the maximum level of borrowing. Personally I think the consolidation loan would be a bad idea as its not getting to the heart of the problem - the OP. Paying off the debt is the best option but for that the OP would have to take responsibility for the fact they spent the money. Again from the posts the wicked card company made the OP spent £6k and then asked for it back - how awful.

Perhaps we will see more posts from the OP soon, either defaulting on this credit card or seeking payday loans to continue living beyond their means.

OP you borrowed it and you have to pay it back - default means that you wreck your credit file for the next 6 years as a minimum. Perhaps you should sit down and budget exactly what £15k per annum means to your lifestyle.

As Fozmcfc says its all relative £6k on £15k is a huge debt. Given the fact that interest rates and the cost of living is soon to go up then I'd be worried about having that sort of debt hanging about and costing me money.

OP have you used the credit card calculator to see how long its going to take to pay this off, assuming £6k 21% APR and minimum payments of 3% thats over 21 years to pay back. Worth focusing on don't you think ?

jimbms

Lets see if I got this right, you borrow to your max and are now upset because nobody else will lend you money at a cheaper rate to pay this debt off. The only one that will lend you money is HSBC who have offered you a loan to pay it off but in return want to lower the amount you can borrow from them so as to stop you getting further into debt by maxing out everything again. I can bet if they offered you free debt councelling and financial advice on how to budget you would refuse this as you do not want to acknowledge your spending is a problem.

woody01

you do not want to acknowledge your spending is a problem.

Understatement of the year
His spending is far from a problem....it's ridiculous bordering on insanely stupid.

NoNoDrama

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

If a bank could guarantee i would use the loan/card to refinance ( surely this can be arranged) then i would be a good bet for a loan even at low rates.

Defaulting and not paying it back is still a valid option here. if i can't get the refinance. It would mean I wouldn't have to pay it back and open me up to the sub-prime market (who won't touch me atm because i'm all green) :rotfl:

no_more_cards_for_me

NoNoDrama wrote: »

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

On £15k :rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl:

Tixy

NoNoDrama wrote: »

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

If a bank could guarantee i would use the loan/card to refinance ( surely this can be arranged) then i would be a good bet for a loan even at low rates.

Defaulting and not paying it back is still a valid option here. if i can't get the refinance. It would mean I wouldn't have to pay it back and open me up to the sub-prime market (who won't touch me atm because i'm all green) :rotfl:

Seriously??
I don't think many people who have replied on this thread are even remotely jealous of you.

Defaulting and not paying it back will open you up to no-one.

Trust us the subprime are not not lending to you because your credit is too good.
I'm not sure if why this is not sinking in yet but the reason no-one (including sub prime) will lend to you is because

YOU OWE TOO MUCH COMPARED TO YOUR LOW SALARY

50% credit to income is about the max anyone can get at the moment (especially people on low salaries well below the national average). You cannot get another £6k loan as you have a £6k loan and that would take you to £12k which is 80%.

Not. going. to. happen.

dtaylor84

NoNoDrama wrote: »

i'm not that irresponsible
[...]
Defaulting and not paying it back is still a valid option here.

These statements are incompatible.

globalds

NoNoDrama wrote: »

Again, I repeat, the card would be for refinance purposes! So my exposure wouldn't be any more than it is now. .

But it would ...You would transfer the present debt onto a new card ...£6000 'ish.
Then you would have a credit availability of £6000 on your present card.

This would double your over all credit limit.

Credit card companies aren't ever going to be in a position to know or care whether another card company will immediately withdraw there credit facility the moment they offer you a new one ...They will just see it for what it is ...Double the credit.

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