How do I get rid of this b*"':;y card?

Edmond_2

A couple of years back I got a Vanquis credit card. It was the only one I could get, as there's a 10k default on my credit report from a few years back. I kept up with, and am still keeping up with payments, so they threw limit increases at me like they were sweets.

I ate up a large chunk of a 3k limit to cover my wife's maternity leave. Now this thing can cost me up to £150 in interest alone a month. The minium payment is typically around £40 more than the interest. I usually top up the minium payment to £200 or more. Making the payments isn't an issue - my issue is that I make a minium payment of e.g. £190 to see my available balance go up by £40. That makes it near impossible to make a dent in this thing without putting a very large sum on it that I can't afford. One car seat or tyre and you're back at square one - things that wouldn't be an issue on a card that's not a total rip off, or if I that I could afford out of my own money if it wasn't going to Vanquis!

It's frustrating, because my financial troubles are over. I haven't missed a payment on anything for years. If I had decent credit I could get a balance transfer card, but I'm not going to accepted for anything that I can find.

Do I have any other options here other than to bend over and pay Vanquis their extortionate interest rates for the next couple of years until it's paid off?

GingerBob_3

Have you tried to get a BT card?

[Deleted User]

Options are -

- Stick with it and pay as much as you can to it, by cutting costs elsewhere
- Find a lower rate card/loan to BT/MT the debt. It doesn't have to be at 0%, just lower than your current rate.

JimmyTheWig

Have you tried the eligibility checker recently to see if you'd be likely to qualify for a card with a decent offer?
My thinking is that if you were accepted by Vanquis a couple of years ago and since then you've paid everything on time then your credit report won't look that bad.

The other answer, that you won't want to hear, is to pay more off the card each month. A small increase will make a big difference. E.g. pay £190 and the balance reduces by £40, but pay £210 and the balance reduces by £60. That's a 50% increase in balance reduction for just a 10% increase in payment.

FluroFrancis

try applying for a Barclaycard initial, behave yourself with it and you might get offered a balance transfer after maybe 6 months

Edmond_2

Eligibility checkers don't seem to work very well from past experience.

I just tried a Post Office Balance Transfer card, which I meet all the criteria for according to their website, and was declined. I can only think that it's the default that's doing it, but nobody seems to mention this as a criteria.

Anthorn

I think you might not be allowed to say, "b*"':;y".

It's not the fault of Vanquis. You agreed to the APR and the T&Cs and then used it and now you want to get rid of it. If you want to keep your credit history as it is you'll need to make the payments or pay it off and close it.

You say you haven't missed a payment in years but then you say if you had decent credit you could get a BT card. Need more information on that.

Not all cards that allow BT are specifically BT cards. In my own personal experience Lloyds Bank Platinum Mastercard and John Lewis Partnership Credit card both allow BT. But whether you get a credit limit high enough to clear the Vanquis card is another matter. At the least you'll be able to clear some of the balance and thereby reduce the interest you're paying.

There are probably other cards that allow BT.

Edmond_2

My recent credit history is good (last 3-4 years), it's that large default that gets me declined for everything. There's a CCJ that I paid off in 2014, but I've tried cards that say they don't matter and have still been declined.

Really I was just checking there was nothing I was overlooking. I know about BT cards, but the only cards I'm likely to be accepted on tend not to have BT offers.

I guess I'll just spam it with money until the interest goes down.

JimmyTheWig

What interest rate are you paying on the Vanquis card? Is it something like 60%? If so, I can imagine why you aren't happy.
I understand that Vanquis have higher rates than many because they accept applicants with less than optimal credit files, but even so that is high.
So the first thing I'd do, straight away, is phone them up and ask if they will reduce their interest rate for you. Ask nicely. Don't demand. Tell them that you are a happy customer and would like to stay a happy customer. If they say "yes" then brilliant. If they say "no" all you've lost is the cost and time of a phonecall.

The next thing I would do is try to get a mainstream card. Don't worry about special offers. Don't worry about Balance Transfers. Don't worry about cashback. Just try to get a mainstream card. Normally your own bank is a good place to try this. They can see that you've had regular wages coming into your account for years. They can see that you haven't had bounced direct debits all over the place. If you've been a good customer for the last 4 years, then they are the ones who are most likely to accept you.
Once you've got it there's the question of getting the balance from Vanquis to the new card. But that isn't too difficult.

planteria

i think zx81 nails it Edmond..

Deleted_User wrote: »

Options are -

- Stick with it and pay as much as you can to it, by cutting costs elsewhere
- Find a lower rate card/loan to BT/MT the debt. It doesn't have to be at 0%, just lower than your current rate.

things are not all bad. you are on top of things, making your payments and are on track. if you can get a BT deal to take the interest away, and then clear the debt more rapidly, great. if you can't... and you may be right re. this, then just hit the Vanquis account with as much as you can, as quickly as you can.. and get the debt cleared. maybe some more overtime, and bits in savings accounts you may have tucked away, any cash you can borrow from friends/family even. the good news is: you know, very clearly, what you need to do with that debt.

"Making the payments isn't an issue - my issue is that I make a minium payment of e.g. £190 to see my available balance go up by £40. That makes it near impossible to make a dent in this thing.." is, of course, exactly how credit card providers make their money..they have you running to stand still. frustrating, and hard work, but you know and understand it, deal with it head on, and move forwards wiser and richer:T.