any luck getting interest frozen

smith10_2

Further to all the help I have been given on here I have started to manage my money already but changing gym membership, mobile phone contract and bus ticket. I feel I should go down the route of trying to clear my debt on my own without going through CCCS although have certainly taken some advice from them. I do have a loan with about 42 months left and the monthly repayment is £242 - I don't feel I can change this. I have a credit card with just under £4000 at 0% for about another 10 months and they are taking around £116 a month. My biggy is MBNA credit card with around £10k - I feel that I will be able now to pay around £220 per month which is just over the minumum but looks like interest will be around £187 so not going to clear the loan very quickly - has anyone had any luck getting them to reduce or freeze interest? thanks again

saltnvinegar

Hi Smith10

You can only ask........

The catch is that unless you have missed/defaulted on payments your creditors will have no incentive to do so, and in fact it is in their best interests (excuse the pun) if you have not missed a payment as they make more money out of you.

If defaulting is not an option for you then you need to look at 'snowballing' i.e. look to pay off the debt with the highest interest rate first with as much spare cash as you can, and then once this is paid off use the monthly payment you have just cleared to clear the next one etc etc.

Its a slow start method but does really pick up once the first one/two is paid (hence the name).

Like I said you can always ask. Just a thought - you could state that you have been offered a balance transfer to a different card with a lower interest rate but as you are a valued customer and enjoy their service would they consider matching the rate etc otherwise you may have to look at taking your business elsewhere.....

SnV