Tesco credit card enquiry

eastender1234

Hi, I've just registered as I have a credit card enquiry and I've been told this forum offers great advice.

I've had a Tesco credit card for about 3 or so years. When I took it out, I was employed and so got a interest free period for a set time.

The interest free period expired some time ago now, and whilst I am still making regular payments with the help of my partner, the interest is crippling me, and I'm basically paying just over what the interest is every month, as I'm now unemployed.

I know I have no chance of getting an interest free card to balance transfer to whilst being unemployed, I wondered if anyone had experience of speaking to credit card companies to request reducing the interest rate.

Tesco are currently offering new customers an interest free period. I doubt they would change my card to interest free (after all, what's in it for them), but is it even worth me trying to see if they would reduce the APR to cut down my interest a little?

Any advice would be so helpful right now

Tixy

It can be worth asking if they will consider reducing it. Sometimes they will drop a % of 2 for some customers.

Depending on your partners circumstances and your relationship you could consider seeing if he could get a 0% card and transferring the balance to him (note he should do this with caution he would then be legally liable for your debt).

Your other option, if you cannot afford repayments is to consider defaulting on the account and offering reduced repayments and asking the bank to consider freezing interest. Or asking them to consider suspend interest for 6months as you are unemployed. Either of these would majorly impact on your credit file.

eastender1234

Thanks Tixy.

I have considered that about my partner, and he has offered to do this. But I really want to do that as a last resort (albeit a preferred option before affecting my credit file).

I might give them a call, I just fear looking like a fool that's asking for something that isn't ever an option.

I just thought, if I called them and asked them to consider reducing my interest rate, and say that I would like to stay with them as opposed to balance transfer to an interest free card (without mentioning my unemployment status), maybe from that standpoint they may have considered it.

Like I say though, don't want to ask for something totally unusual?!

Tixy

Worth a shot - and that is what I would say, that you are considering transferring.

YorkshireBoy

eastender1234 wrote: »

I just thought, if I called them and asked them to consider reducing my interest rate, and say that I would like to stay with them as opposed to balance transfer to an interest free card (without mentioning my unemployment status), maybe from that standpoint they may have considered it.

Think about it...

You're only paying pennies (my interpretation of "just over the interest") off the balance each month. So you must be struggling (in their eyes).

Why on earth would any 'solvent' person prefer to pay circa 18.9% APR when there are a plethora of 0% deals on offer, with lenders fighting each other (on both duration and fee) for your balance transfer business?

They'll see right through your bluff I'm afraid, and likely mark you down for rate-jacking at some point in the near future. If you're still using, or will need to use, the card then this might be a major problem?

Jcts

I wouldn't get your hopes up too high but by all means give it a go. If I was in your situation, I would. If they say no, they say no. No harm done and you've given it a shot

eastender1234

YorkshireBoy wrote: »

Think about it...

You're only paying pennies (my interpretation of "just over the interest") off the balance each month. So you must be struggling (in their eyes).

Why on earth would any 'solvent' person prefer to pay circa 18.9% APR when there are a plethora of 0% deals on offer, with lenders fighting each other (on both duration and fee) for your balance transfer business?

They'll see right through your bluff I'm afraid, and likely mark you down for rate-jacking at some point in the near future. If you're still using, or will need to use, the card then this might be a major problem?

There may be a plethora of 0% offers available, but as Martin Lewis always talks about, a) it doesn't mean you will get it, and b) they recognise that people don't want the 'hassle' of moving. Similarly why so many people choose to auto renew their car insurance instead of shopping around for a 'almost guaranteed' better deal elsewhere.

You say they will see through my bluff, but my father has done this on 2 occasions. And they actually offered him another interest free period to convince him to stay...therefore even better than simply reducing his APR. I do recognise though that circumstances are different for everyone.

And I'm certainly not only paying pennies, but even if I was, a penny to one person is a pound to another. By me saying I'm paying just over the interest, that doesn't mean I'm paying pennies. Without discussing my balance with everyone, my balance could well be thousands and so my minimum payment and interest certainly would not be pennies.

If they want to call my bluff, then call it. Then my partner will balance transfer my balance onto his interest free card, as I said before (as a last resort). Fortunately I'm not reliant on them reducing my APR, just hopeful so I don't have to involve my partner. But if they 'call my bluff', that's exactly what I'll do!

eastender1234

Thanks Tixy and Jcts for your replies. My thoughts too, no harm in trying. So thank you for sharing your opinions and helping

YorkshireBoy

eastender1234 wrote: »

Thanks Tixy and Jcts for your replies.

You're very welcome.