Clear the debt during interest free periods

belleooo

This is a cautionery tale concerning store cards and buy now pay later offers. I have just made a cheque out to Argos card services for £212 and will be glad to see the back of them. November 2003 I took out a store card with Argos with a £200 credit limit on it and spent £195. I was hopelessly strapped for cash and I spent the money on Christmas presents for the children. Daft I know! Anyway I was offered a buy now pay later option for a twelve months and providing I paid back before November 2004 I wouldn't incur any interest. But life took over like is usually does and nothing got paid off the balance. So in November 2004 I received a new bill with over £100 worth of interest slapped on it plus a £20 penalty charge for going over my credit limit. I rang and managed to get the charge removed and my credit limit increased to cover the interest charges. I have made 22 months of direct debit paymets of roughly £10 a month without getting any other charges and not making any more purchases (snipped the card up a long time ago). Paying about £200 to £220 off the original debt. But I still find myself owing them £212. £17 more than I did in November 2003! So in all I have paid between £412 to £432 for £195 worth of purchases and would have probably paid considerably more if I had carried on paying by direct debit.

Now I'm not asking for any sympathy. I don't deserve it. I should have paid of the debt within the 12 months interst free period. I am just warning others to try and make payments during these interest free period and clear the debt before interest charges are slapped on. And not have to learn the hard way like I did. Thanks for taking the time to read.

lynzpower

A cuationary tale indeed. Ive almost got one of those Argos cards a few times, ( glad I didnt) and they do seem to be particularly hefty interest wise too!