Balance Negotiation

adindas

Jd2015 wrote: »

Another sarcastic smug post, nice place this. Thanks Adindas

The point being I've had the debt for years and they have already made a fortune on interest and therefore already took their pound of flesh so I wondered if anyone thought they'd be willing to give some sort of small discount to get a balance cleared in full that had been virtually maxed for more than a year.

Your simplied scenario is wrong and in reality looks more like this:

I want to borrow 9k and am willing to be charged 4k interest but at the end of the term if I clear the entire balance can I negotiate a discount of £100 as I've been such a good customer.

They still will made profit of £3900. Apparently this makes me the devil, deserved to spoke down to, accused of ruining the economy and just accept general rudeness.

I realised this was extremally unlikely but wondered (simply wondered for crying out loud) if anyone had ever made such a deal

You have got enough replies from people who have visited and read this forum regularly and I think you have got the general consensus.

Because you still insist otherwise, why not try it and report it here. Apart from time and phone call bill (if any), postage cost, you have nothing else to loose

I myself want to learn such kind of a delicate negotiation techniques. I also have credit cards with about, £22,000 balance on it spread over three difference cards. The only difference is that I do not pay any interest as it is a zero percent on BT with zero BT fee.

If I could get it down 10% by the end of interest free period by negotiation, it is even better is not it ...

I definitely want to learn from you as well. Please keep posting and explain us your negotiation techniques .. ...

Jd2015

Adindas strange concept but you might want to try reading my posts before commenting.

I asked the forum has anyone ever done it or heard of it being done. You'll note that is slightly different from insisting it can be done.

Insisting would sound like this "I know for a fact you can definitely negotiate a discount". Perhaps you can point out where I have insisted on such a way?

I do intend to try it and I will report back. I realise it is highly unlikely but can do no harm. Here's a thought why don't you read back through this thread and count the times I say I realise it is highely unlikely and then tell me how that fits in with your "insisting" claim.

I asked the forum the question because I have never done this before and wanted to enquire and use the knowledge of the more experienced members of the forum if they had ever come across it. Thought that was one of the principal aims of the forum, namely inexperienced people ask experienced people questions. Apparently not. It appears that the forum is here for inexperienced people to ask questions and then wait while the experienced members insult, sneer and snipe down at members. Apparently I should be the on who is ashamed of myself as well.

Nebulous2

Jd2015 wrote: »

I do intend to try it and I will report back. I realise it is highly unlikely but can do no harm.

I think it is a bit strong to say it can do no harm.

It is unlikely to do any harm is about as far as I would go.

There have been posts on here in the past of people trying their luck with credit card balances and ending up with problems on their credit file.

Credit card companies will help to a greater or lesser degree if people are in financial difficulties. The problem you have if asking for a discount is that they may mistake you for being in that position. Even if the person you talk to understands what you are saying the shorthand notes they take may not be so clear.

Would you want your £100 discount if it meant an AP (arrangement to pay) marker on your file?

Jd2015

Thanks Nebulous, I would never have thought about that side of things. I'll have to tread very carefully.

Many thanks

Chrysalis

If they gave you the discount I expect it would be accompanied by closure of the credit account, with also possible bad marks on your credit file.

In all honesty you best just paying it off, the balance on the statement and you will be rewarded with been able to get cheaper/free credit in future.

eskbanker

Jd2015 wrote: »

they have made 1000s of pounds profit off me, when I pay back the balance I will have paid back considerably more than I ever got from them. I'm not asking them to make a loss or trying to get something for nothing.

Jd2015 wrote: »

the thousands of pounds the credit card company has already made off me

Jd2015 wrote: »

I want to borrow 9k and am willing to be charged 4k interest but at the end of the term if I clear the entire balance can I negotiate a discount of £100 as I've been such a good customer.

They still will made profit of £3900.

What makes you think that in this scenario the £4K they charge to lend you money is all profit, don't you think they have costs involved in offering this service? Not just their own borrowing costs, but technology, people, property, compliance, insurance, bad debt provision, section 75 liabilities, etc, etc....

I'm not looking to join a lynch mob here, just observing the flaws in the apparent perception (that others before you have also expressed to be fair) that what you owe them is somehow subdivided into actual debt plus some spurious extra charges that they should consider themselves lucky to receive. At the risk of another imperfect analogy, it's a bit like finding out Tesco pay their suppliers 10p for a tin of beans and then trying to negotiate them down from a 50p selling price on the basis that they're supposedly making 40p profit (as opposed to gross margin).

Jd2015

eskbanker well yes of course there's other costs involved I was just using a simplistic example. The example was simply used to demonstrate that they will get the principal back and a sizable chunk of change in the form of interest paid.

Having said that any costs in relation to this interest paid would make up a very small percentage you would imagine. If a £9k credit card at 18% for 3+ years with never one payment missed is not highly profitable I would worry for them.

I also have not expressed the view (as you suggest I have) that what i owe has some element of "extra charges they should consider themselves lucky to receive".

What I have said was:
"I agreed to the terms of the credit cards I intend to pay them all back...."
"I realised the interest etc I would be charged when I took the card..."

All I have said is they have made a lot of money from myself and for that reason I am not "welching" on my loan, acting beyond the realms of sanity, portraying questionable moral ethics, bankrupting the economy, portraying appalling behavior, not paying my dues etc etc etc as some have suggested completely unfairly.

I am also not trying to negotiate that they reduce my balance by the entire amount of interest I have paid them as your Tesco analogy tries to depict. That would be ludicrous.

Jd2015

I asked an honest, genuine question and have been met with some real negative and unnecessary responses and I'm done now. I am sorry I asked and will try not to ask anything going forward.

Again I'd like to thank all those who did give me genuine responses but unfortunately you got drowned out by the insults and ignorance. Not a nice place to be.

MABLE

Jd2015 wrote: »

Wow! some people on this forum have some serious attitude problems.

I have had this credit card for a number of years and they have made 1000s of pounds profit off me, when I pay back the balance I will have paid back considerably more than I ever got from them. I'm not asking them to make a loss or trying to get something for nothing.

I realised the interest etc I would be charged when I took the card but should I be "ashamed of myself" or am I "bankrupting the economy further" by asking them if they are willing to reduce the profit they have received from me?

If that's true then we need to shut about 99% of this site.

I am very dismayed with some of the posts on here and the negative responses I have received to what was a very innocent query and it has made me question any future involvement in the forum.

Not all responses have been like this I might add and I thank those for their input.

This is why interest rates on some cards are high to compensate for people like you. You enjoyed the services and benefits by using a credit card and you should pay back everything you owe unless of course you are in real financial difficulties and you can demonstrate it to your creditors.

My comments no doubt to you seem negative but that is the way I see the situation.

eskbanker

Jd2015 wrote: »

I also have not expressed the view (as you suggest I have) that what i owe has some element of "extra charges they should consider themselves lucky to receive".

What I have said was:
"I agreed to the terms of the credit cards I intend to pay them all back...."
"I realised the interest etc I would be charged when I took the card..."

All I have said is they have made a lot of money from myself

...and all I'm saying is that, even if true, this is irrelevant.

Jd2015 wrote: »

I am also not trying to negotiate that they reduce my balance by the entire amount of interest I have paid them as your Tesco analogy tries to depict. That would be ludicrous.

No it doesn't! It was purely to try to convey that your perception of profit isn't necessarily accurate.

Anyway, as I hoped to portray, I wasn't trying to be preachy but you seem to have taken it that way - good luck with whatever approach you adopt....