DMP and Barclaycard

LMJ10

Hi

Received some Barclaycard statements today and tomoro is my first DMP payment. Barclaycard have accepted the reduced payment but are still charging 3% per annum interest?

I have 4 cards with Barclaycard so the total amount added up makes Barclaycard the biggest owed creditor.

The interest will be about £1000 a year extra which is prob about 6 months added on my DFD

Altho I appreciate 3% is a good reduced rate does anyone think I should still ask for it to be 0% ??

Thoughts appreciated thanks.

FireWyrm

You can ask and they are under no obligation to grant your request. Barclays are right sods when it comes to this and more often than not, the interest is not frozen at all with them. You are lucky to have squeezed 3% out of them and not the more usual 21% they like to charge.

sourcrates

LMJ10 wrote: »

Altho I appreciate 3% is a good reduced rate does anyone think I should still ask for it to be 0% ??

Thoughts appreciated thanks.

You can ask, but creditors are not obliged to stop adding interest, I know it sounds counter productive, but sometimes its better to wait until the debts are with DCA`s before agreeing repayment terms as interest is then stopped altogether.

Learning2Budget

Barclaycard are the ONLY ones who have always charged us interest on our dmp list. Although in all homesty it hasn't been a high rate. They also haven't defaulted us. Been on a dmp since 2008 and everyone else has defaulted us too. L2B.x

Deep_In_Debt

Barclaycard were the first creditor to accept my dmp and charged no interest for the first 6 months. After that they did charge interest for the duration of my dmp. I wrote to them several times asking if they could freeze interest as all my other creditors had, but they refused.

GibbsRule_No3

The interest BC have added to my DMP has extended it by 7 months. My DMP now is just the interest and they are still adding interest to the interest, so it could stretch to 8 months extra. Over £2500 added to my debt. You never see anything in the papers or any news items on TV and radio about them either. Everything is "Pay Day Loans" IMHO BC are as bad.

heatherks

i have been on a dmp for year with barclaycard at the start it was 0% interest then jumpted up to 12-9% when i complained they reduced it to 3% but told me i can only be on a DMP with them for a maximum of 5 years

also if your payment is more than 1% of your balance
BC said it would automaticaly accrue interest and nothing they can / would do about it

Stewart_78

BC will do this if you pay them too much. You are better off saying you can afford a lot less every month and saving the rest in a separate account to make a settlement offer later. My wife had a BC card and they charged her interest until she cut the monthly payment at her first annual review.

LMJ10

Thanks for all your replys .

I am grateful for the 3% rate however equally annoyed as I owe them the most and creditors I owe alot less too have agreed to freeze interest!!

I'll see how I go when I update my balances.

I'm abit dubious tho of BC not defaulting you as I've heard they like putting AP markers on which seems to be worse.

sickasachip13

Hi

Keep pushing them to drop it. We had this problem with more than one B'card account, but they did drop the % after a number of letters and calls. And they've never re-introduced % either (I'm off to touch the table having said that!!)

SAAC

Tixy

LMJ10 wrote: »

I'm abit dubious tho of BC not defaulting you as I've heard they like putting AP markers on which seems to be worse.

If they haven't entered a default after 6months, and assuming your other creditors have by then, then I would write to them to push for a default to be registered.