Asking Existing Credit Card For Help

6WeeksInBed

Hi guys,

I'm self employed and have some debt (2k) on my Halifax credit card.

Unfortunately I'm on the sick and freshly out of hospital recovering for the next 6 weeks.

Year 1 of self employment hasn't been great which is ok as I was expecting things to take time but on paper I'm sure this isn't going to leave me with OTHER banks offering a handy Balance Transfer to give me time to get on my feet...

(I have a good credit score, never missed a payment, homeowner, no ccjs etc, just not regular healthy cashflow).

My question to all you lovely people is what options do I have?

Is it worth trying to transfer the balance (at least some) to a possible new 0% credit card? I think realistically my income year one has been £4k.

or/in addition to

Speaking to my current Halifax credit card and asking them for some sort of payment holiday, lower interest rate or freeze just while I get better?

Do credit cards do this?

Thanks as always for reading
Paul

Brian64

You are unlikely to get another card to do a balance transfer been self employed with such a low income.

You also run the risk of having your current card provider increasing your interest rate if you approach them asking for a reduced rate or payment break as they will see you as a higher risk so i would only do this as a last resort.

My advice would be to try and make the min payment even if it means cutting down on other expenditure,borrowing from family or selling any unwanted items on ebay etc.

good luck and hope you make a speedy recovery.

YorkshireBoy

6WeeksInBed wrote: »

or/in addition to

Speaking to my current Halifax credit card and asking them for some sort of payment holiday, lower interest rate or freeze just while I get better?

Doing this will leave a negative marker on your credit file which will stay there for at least 3, and maybe up to 6, years.

I'd avoid wherever possible. After all, even if they waive the interest (and they won't!) it'll only save you £30 per month (at 19.9% APR).

rartherinv

6 weeks is not very long at all, only 1 or 2 statements?

Owning your own property and recently going self employed...your finances seem to be geared for the long haul, so 1 card statement with small interest surely won't break the bank will it :question:

Careful_ly

If you are married, or have a long term partner an option could be to get a card in their name, with their agreement of course!

OH and I do this all the time, but it wouldn't be right for everyone.

Wishing you a speedy recovery and good luck with your business.

6WeeksInBed

YorkshireBoy wrote: »

Doing this will leave a negative marker on your credit file which will stay there for at least 3, and maybe up to 6, years.

I'd avoid wherever possible. After all, even if they waive the interest (and they won't!) it'll only save you £30 per month (at 19.9% APR).

Thank you all, some very useful tips.

I'm just going to grit it out, pay the minimum payment till I'm better. I'm single otherwise so can't take advantage of having a partner...

SOOO glad I didn't speak to my credit card now.

Many Thanks
Paul

Road_Hog

6WeeksInBed wrote: »

Speaking to my current Halifax credit card and asking them for some sort of payment holiday, lower interest rate or freeze just while I get better?

Do credit cards do this?

Thanks as always for reading
Paul

Whatever you do, don't speak to your credit card provider. They're not very sympathetic, only interested in getting their debt paid. If you speak to them, you will start the alarm bells ringing and are likely to find that your credit limit is immediately reduced to whatever your current balance is.