Credit Card Repayment Agreement

langersp

Hi,

I have a vanquids card and now am over the credit limit. With charges etc it hasnt improved the situation!

Vanquis offered a repayment scheme whereby the interest is frozen until i have paid off the over limit amount. They mentioned it may affect my credit rating.

Could anyone offer me some advice and wether my credit rating will be negatively affected if i take up this repayment offer

Thanks

Tixy

They will probably issue you with a default for defaulting on the terms of your credit agreement. This will stay on your credit file for 6years affecting your ability to get future credit.

If you cannot rectify the card and pay off enough to put you back under the limit then you will likely get a default whatever.

langersp

ok thanks.

its strange they offer me the opportunity to get it back to the limit though if that is the case

Tixy

If you can get it back under the limit then they won't default you.
If you cannot do that then you are likely to be defaulted.

So if you cannot pay off enough to get it under the limit I would say you may as well go for the 0% offer.

_Andy_

It will show as 'I's on your credit file(for an arrangement) not a default.