Barclaycard

busterboy3

Hi
I have just joined today, so very new to this
Wondered if I could get some advice.
I had a Barclaycard credit card it originally had a limit
On it of 850.00. I found it hard to keep up with payments, they suspended my account when it got to the limit, but on the same statement increased it to 1,500
Without me knowing. Then with charges and interest soon increased.
I got them to freeze interest and accept 10.00 a month. I have opened a dispute with them saying they should not have increased my limit, thus getting me further into debt. Are they allowed to just increase your limit and then keep adding on interest? I have said the way they handled the account was wrong and with all the payments I have made. Up to the limit of 1,500. It should be deemed as paid off. Don't know whether I am doing the right thing.? They are looking into it. Waiting to hear.
Now they have sold this to link. Informed them of the dispute.

InsideInsurance

How does increasing the limit increase the debt you have?

If you arent making payments on time then interest and fees will be added irrespective of limits. In fact you may find extra fees for over limit ontop of the rest of the fees.

Or is it the case that YOU increased the debt by continuing to spend when you knew you couldnt repay it?

dresdendave

busterboy3 wrote: »

I have opened a dispute with them saying they should not have increased my limit, thus getting me further into debt.

Raising your credit limit increases your available credit, it makes no difference to your debt.


Inside insurance obviously types faster than me.

jimmy*c

If anything, they've done you a favour. If you weren't meeting the payments then the interest would've eventually took you past your credit limit, incurring further charges. Increasing it to nearly double has given you a bit of breathing room in that respect.

jonesMUFCforever

..............and before OP asks - not it is not illegal to increase a limit and no you won't get any compo and no they will not write the debt off on a technicality.

PaulW922

It is not quite clear what happened here? After they put your limit up to £1500 did you carry on spending and run up a further bill? Or did they just put up the limit but you haven't used it?