Taken a Barclaycard CC, massive min payment issue

Pir8pete

Hi,

I wonder if you can help me. I have recently switched to Barclaycard from Capital one as my 0% interest period came to an end.

I switched to a 0% Barclaycard and i have just activiated the card and discovered that the min payment was significantly more than on my previous card.

On a debt of £5500 I was paying a min of £55 (1%), and have been coasting for quite a while. Money is very tight, well I guess there is a lot of it about. Barclaycard wants to charge £127 (2.5%?) a month.

I asked if I could back out and they said "of course but you'll have to pay the balance". I have 2 days in which I can still do this.

What is the best thing to do? Get another card with 0% int and 1% min payment and transfer to that? Can I close the account and get the money transferred back to Capital One (only to have to quickly move it again before I pay another month with interest).

I have had a load of financial issues hit me recently and I'm worried sick. Any advice is greatly appreciated.

sfax

You could apply for another 0% card but you may struggle to get one given your situation unfortunately. If you transfer back you'll have to pay 3% on the whole £5500 and then interest every month at the standard rate. It would be much better to find a way to pay the Barclaycard minimum payment and start reducing what you owe

grumbler

Pir8pete wrote: »

Can I close the account and get the money transferred back to Capital One

I don't think so. And what would be your plan B if you get refused a new card?

Pir8pete

Honestly, this has come like a bolt from the blue tonight.

Surely there must be a cool off period where I can back out and have the debt transferred back to capital one?

sfax

Pir8pete wrote: »

Honestly, this has come like a bolt from the blue tonight.

Surely there must be a cool off period where I can back out and have the debt transferred back to capital one?

Your best bet is probably to call them again and ask them if they can return it. Be persistent and say you can't afford the monthly payments

The cooling off period applies only to the credit agreement which are entitled to end but you would have to pay the balance in full

chanz4

They say the terms when you applied

Pir8pete

chanz4 wrote: »

They say the terms when you applied

Well yes I realise that, but I was under the impression it was 1%. I went through a comparison site.

B19JON

tbh, when I signed up to my barclaycard I thought it was 1% as well. However I actually prefer it being more as I'm actually paying it back faster. Dosn't help your situation tho.

Pir8pete

I would love to be in that position but its not possible. I applied online through U switch and I'm pretty sure it didn't mention it.

Backbiter

I know you say it's not possible, but my advice would be to do everything you can to meet the minimum repayment, as paying back just 1% will barely cut into the debt at all, even if Barclaycard have a long interest-free period. I appreciate you transferred the debt on the assumption your repayments would be lower, but it's likely you were told what the minimum would be in the small print of your application. So it's likely that any attempt to cancel the balance transfer would still see you liable for the transfer fee of around 3%, or £165.
You could, as suggested, contact Barclaycard and see if they can offer you a reduction on the minimum payment.

noh

Pir8pete wrote: »

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What is the best thing to do? Get another card with 0% int and 1% min payment and transfer to that? .
.................

I don't think such a card exists, at least for new applicants.
Edit:- There are a few see here http://www.stoozing.com/0fees.php