Minimum Repayment Discussion

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  • aidyduk
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    hi

    ive got a problem with santandar cc, basically i got it for the balance transfere 2 years ago. but i had some problems with it and ended going over the limit but not knowing as they never sent any payment details/ or statments on how much i owed i sorted it all out with them at the time and went on dd to pay the minimum payment so i wouldnt go over the limit, but i still wasnt getting any statements but as i had set up dd i thought everything was ok and one day letter turned up with a fee so i rang them up and they had been charging me for goining over the limit even tho i was on dd. i finally sorted it out and they said my account wouldnt go like that again and removed the charges

    i finlly recieved a stament this month and ive still been paying 12 quid per month for 2 years for goining over my limit even tho ive never missed a dd payment since i originally had the problems. i rang them up but they point blank refused to remove the charges saying they where legit charges because the payment protection plan was making me go over my limit, i havent used the card for any transactions since the original problem.

    is there anything i can do, i know ive been stupid for not checking.
  • markedwards
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    It is clear that whilst a few card companies have allowed direct debit repayments above the minimum level most do not and use the excuse that a fixed amount may not cover the minimum repayment if card use increases and charges will arise. That is easily remedied by allowing a card holder to a third direct debit option of minimum repayment PLUS a fixed sum. They are however unlikely to do so unless pressure is applied so please help by signing the following government petition. Thanks

    petitions.number10.gov.uk/creditcarddebt
  • akkers70
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    I have a Capital One credit card and phoned to ask if I could increase my minimum payment or change to a fixed payment, I was advised that I only had 2 options, one was to pay minimum or I could settle the full amount?

    Can they do that? To my thinking they cant as they are locking me into a debt? Just thought I would ask for some advice so that can incorporate that into my letter of complaint, which they can then ignore!
  • seeya23
    seeya23 Posts: 2,330 Forumite
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    akkers70 wrote: »
    I have a Capital One credit card and phoned to ask if I could increase my minimum payment or change to a fixed payment, I was advised that I only had 2 options, one was to pay minimum or I could settle the full amount?

    Can they do that? To my thinking they cant as they are locking me into a debt? Just thought I would ask for some advice so that can incorporate that into my letter of complaint, which they can then ignore!

    you can always pay moe online or when you get bill at the bank they will still take minimum payment by dd
  • markedwards
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    unfortunately most of the card companies seem to adopt the same attitude. I am currently paying the minimum repayment by direct debit and making additional manual payments most months by cheque. I could set up a standing order alongside the direct debit but was concerned that payments might go astray as the card compnaies are not usually geared up to accept these. It would be so much easier if they would just allow minimum payment plus a fixed additional sum of £20/£50/£100. Thats why I have put up the petition to try and get enough support to persuade the government to make them change their systems.
  • Hi all, wanted to let you know of the result I have had!!
    Back in Nov 2009 I wrote on this site asking for advice about paying a credit card whilst only on disability benefit. I was given advice (by a member called IZOOLS) to write to them with a budget plan account explaining my circumstances. Well, finally, I have received a reply from the credit card company accepting my offer of £20 per month, as opposed to £80 per month. So, thank you so much for the advice and this goes to show that if you take the right route and write explaining your circumstances, you have a much better chance of coming to an agreement than just ignoring them and hoping they'll go away, which they won't! :j
  • clairbear1000
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    Hi,

    I was trawling this board looking for the calculator that shows you how long it takes to pay your debt depending how you change your payment amount. I've used it before not the one that includes the interest bit.

    Anyway, I just wanted to put my two penneth in and say all 4 of my credit cards allow whatever payments you like via the internet banking facilities, you can choose min payment, entire balance or your chosen amount. That way I can keep paying extra payments thorugh out the month. Also, it's quite exciting to be able to see your balances coming down online.

    cx
  • Enigma007
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    When Citibank took over Egg last year and started cancelling cards, I was one of the people they decided was too risky. Since then, I have had issues with EGG removing information on the interest rate I pay (makes me nervous in case they do something dodgy) and next interest estimates from my online bill - which after challenging them has been put back on but I note that the former has dissappeared again so I need to contact them. Anyway, the min payment goes by DD but I make sure that I ALWAYS make extra payments (manually online) to hit the account the same day as its due (if I pay earlier then they reduce the min amount they take by DD!) Yet I have noticed that every second month my interest goes up! Shouldn't it be going down? Granted my extra payments vary between £10-£100 but are always more than £10 so why is it going up??? Do I have a valid concern/query to raise with EGG? Since noticing this anomaly I have retained a record of my min payment, interest and estimated next interest so I have all the stats for them. Please help.
  • clairbear1000
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    I also noticed that despite over paying my cards, some of the estimated interest charges went up on the December statement. Is this something to do with end / beg of year or is there a longer period of time on the statements because of bank holidays?

    C
  • CannyJock
    CannyJock Posts: 3,838 Forumite
    Combo Breaker First Post
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    Enigma007 wrote: »
    Yet I have noticed that every second month my interest goes up! Shouldn't it be going down?

    Interest is calculated daily so could it be the fluctuation between 30 and 31 day months? On the up side, February is just round the corner :)
    "A child of five could understand this. Fetch me a child of five." - Groucho Marx
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