help from credit card company - NOT!!!

cleasby

I've had a credit card for about 12 years, I didn't ask for it and I didn't want it but they gave me it anyway. I was in a vulnerable state of mind at the time [my husband had just died] and just went along with it. So now 12 years later, too much retail therapy, credit crunch, reduced hours at work etc I still owe almost £5000, the interest is extortionate and I can only afford slightly more than the minimum payment. I have spoken to them twice recently and asked if they would either reduce the interest - even for a short while or accept a settlement amount. They can't help me they say, they don't do either of those things. If I had a current account with them they may be other options - not sure what they would be. Anyway, I can't believe in this day and age and current financial climate a company cannot help someone who wants to sort things out. Has anyone else any similar experience?

creditcardhelp11

Some banks will not look at reduced offers until the account has defaulted. You may need to miss a payment then write an offer along with a financial statement asking for interest and charges to be frozen. This will damage your credit rating, however, if you cannot afford it then you can't go on. Take yourself over to the DFW board and list your SOA and see what people say. Contact National debtline, CCCS or CAB and they will help.

chattychappy

cleasby wrote: »

I've had a credit card for about 12 years, I didn't ask for it and I didn't want it but they gave me it anyway.

....and you then made use of it for 12 years....

I think you need to review your financial affairs generally. There is a "debt free wannabe" forum (can't seem to find it now - perhaps someone can help out with a link?).

You need to find a way to pay down the debt. If you have other debts too and you really are sinking then IVAs and other devices are possible. So it sounds like you need help to take a dispassionate look at your finances, perhaps with independent help.

I'm afraid the CC will not see any reason why they should "help" - they are a commercial entity with duties to shareholders. There are debt advice charities who will help though (proper ones, not ones you pay for!) as well as posters here and on the other forum.

Good luck.

Gromitt

chattychappy wrote: »

....and you then made use of it for 12 years....

and I don't think they would have just gave people credit cards without them signing a credit agreement, so surely if you didn't want it, you wouldn't have signed the form?

So you now have only a few options:
Keep paying and keep your credit report clean.
Default and trash your credit report.

david39

The pre-amble in the original post is a red herring - it doesn't matter how she comes to be in the current position, she needs help now.

Advice - contact one of the debt-related charities mentioned in Post #2. On no account have any truck with debt-solving companies that ask you for money up-front and don't be taken in by firms that phone you or advertise on television or in newspapers.

Caution for people making new threads on the same subject :
Don't pad out the start of your thread by making excuses for how you reached your current problematical state - just post the facts as they are at the moment. That way, you will get advice without being lectured over what went on before.

opinions4u

cleasby wrote: »

I've had a credit card for about 12 years, I didn't ask for it and I didn't want it but they gave me it anyway. I was in a vulnerable state of mind at the time [my husband had just died] and just went along with it. So now 12 years later, too much retail therapy, credit crunch, reduced hours at work etc I still owe almost £5000

You signed. You used it. You are where you are.

the interest is extortionate and I can only afford slightly more than the minimum payment.

Here is the key. You can afford it. Next time they try to up the interest rate take the opportunity to reject the increase.

In the meantime, cut the card up and stop using it.

Have you looked at moving to a 0% balance transfer deal with another card issuer?

I have spoken to them twice recently and asked if they would either reduce the interest - even for a short while or accept a settlement amount. They can't help me they say, they don't do either of those things.

And why should they? You have already stated that you can afford the payments as they are. So what's in it for them if they reduce what they're charging you or write off some of the balance?

Anyway, I can't believe in this day and age and current financial climate a company cannot help someone who wants to sort things out. Has anyone else any similar experience?

What's to stop anybody who can afford their payments ringing up and saying "I'm a bit skint please can you reduce the rates please"?

Here's what I'd do:

1) Go to www.makesenseofscards.co.uk and complete a statement of affairs (SOA).

2) Post the SOA on the Debt-free Wannabe section of this forum and ask for advice. There may be ways you can cut back to accelerate your debt reduction.

thegoodman

Just saying can't pay is not good enough. Need more info like total income, other debt, all out goings etc.

No point in trying to blame the card company for giving you the credit or not helping you without all required info.

cleasby

Thanks for all the posts re my dilemma with credit card. Some harsh but true and plenty to thnk about. Much appreciated

Fiddlestick

cleasby wrote: »

I've had a credit card for about 12 years, I didn't ask for it and I didn't want it but they gave me it anyway.

They gave it to you without you voluntarily signing the credit agreement?

trickycomper

Why not try find a 0% for 15 months card. Like tesco's or something.
Then at least your not paying the interest. Then start paying off large chunks when ever you can, most importantly though is to keep paying off