"low" payments being made on credit card

MOGGYMALONE

Hi,
I got a letter from credit card company which is my bank saying they've noticed i'm only paying the minimum payment or just over it every month on my credit card blah blah how it will take me longer to pay it off etc. I'm a bit annoyed at the letter as they are referring to me making as they call them "low payments" yet I always pay above the minimum payment and even make interim payments within a month if i have any spare cash. Why on earth would they be sending this to me or is it because they want me to pay it all off earlier. I certainly would not regard myself as making low payments. Especially when i always overpay.

[Deleted User]

It's a regulatary requirement to advise customers who make min payments on a regular basis. They seem to have interpreted it to include those a little above.

They don't want you to pay it off.

Cat2011

If you are not paying the card off in full each month, you are making low payments. Banks are trying to be a touch more moral. So they are just reminding you that if you continue to make just over the minimum payments, then it will take you a long time to pay it off and you will pay a lot in interest.

Sounds pretty good of them to do that to be honest.

redcard

They're basically telling you you aren't managing your finances very well

Nada666

MOGGYMALONE wrote: »

I certainly would not regard myself as making low payments. Especially when i always overpay.

So is it regularly paid off in full every two months at most? If not your self regard is in question and the bank is to be praised for informing you.

You are (from what you have said, it seems,) making low payments. What is the problem?

mobilejo

MOGGYMALONE wrote: »

I'm a bit annoyed at the letter

Why? For once in their miserable history they are actually being a tiny bit responsible in saying "carry on like this and it will take 100 years and £50k to pay off this £3k debt" which will hopefully encourage people to up their payments and save themselves some cash.

By doing this, the banks are wasting their own resources and it will cost them in profits if people actually listened. They want people to keep paying them £000's in interest. But those above told them they have to be responsible and so they're just warning you.

People used to complain that they never knew how much it would cost them to pay off their debt slowly vs quickly. Now we're upset we're getting warnings. :rotfl:

MOGGYMALONE

Rofl at some of your replies on here. Self regard yourself! lol

mobilejo

I think the point is that you must be making low payments, whether you think of them as such or not.

fozmcfc

Mobilejo hits the nail on the head, they are damn if they do, damn if they don't.

Heard this a few times now, it seems that banks etc are, even if being forced to, starting to inform people that perhaps they need to look at their debt.

The thing is when people are in debt, they see it as a personal dig at them, when it's highlighted.

I know when I had debt, I would take annoyance at being refused credit, having my APR up and being refused credit limit increases and people just generally saying you shouldn't buy stuff on credit with cards and loans.

Last time I was refused a top up loan, I was annoyed for days, but ultimately it made me think hard about how I couldn't continue on this way and led me to becoming debt free.

The trouble is those who become debt free, can be like ex smokers and perhaps come across holier than thou, but ultimately we have been there done that and I certainly know which one I prefer.

moohound

fozmcfc wrote: »

The trouble is those who become debt free, can be like ex smokers and perhaps come across holier than thou, but ultimately we have been there done that and I certainly know which one I prefer.

This is so true, there is no-one more pious, self righteous and annoying as an ex over spender, except and ex smoker - I am both

MOGGYMALONE

People really do jump to conclusions on this forum.
My question was related to whether i would be asked to pay it off in full which i am not currently in a position to do but will be doing in the next few months so that i am again debt free.