Advice Pls. C/c debt 3K. No funds but 25 yrs good credit history

Octavius_Ace

Hello,

I'm new to the forum, so if this ( as likely ) a repeat Q, perhaps someone could direct me to a relevant post/thread.

So, I have had a Visa card ( Barclaycard) for 25 years plus with an excellent payment record. Moved overseas a few years ago and have struggled to make regular payments, but nothing outrageous.

The debt is around GBP3000, but I have no means to pay it right now - This will change as a UK business starts to trade, but worts case this will not generate anything for 9 months.

So, I am going to make the call today and see what they will offer me, but wanted to check in here first before making any statements I might later regret.

I want to be honest with them and will say.

1. I can try to pay a very small amount each month as a gesture of good will
2. I would like them to stop charging interest on my outstanding balance
3. I would like them to take into account my good payment history from 1990 to 2015

I do have a UK bank account, with a balance of <GBP500. I really do not want to pay all of this to my credit card debt for obvious reasons.

What would anyone advise ?

I would like to have a script before I call.

Thank you very much in advance for your help.

[Deleted User]

If you cannot make payments, then they will almost certainly set up a payment plan once you fall into arrears.

This will typically freeze interest for a period of time, but of course will have an impact on your credit files.

Candyapple

If the balance is only £3k, Barclaycard charge 2% or 2.25% of the balance which would be either £60 or £67.50 per month. Can you really not afford to pay the minimum repayment for the next 9 months? Even if it means cutting back in other areas - this is the only way you are likely to escape without any serious damage to your credit rating.

Are you back in the UK now?

You may like them to stop charging interest but they won't, at least not straight away - some example threads below:
https://forums.moneysavingexpert.com/discussion/3310314
https://forums.moneysavingexpert.com/discussion/2733849

More than likely they'll either force you into defaulting and then you can negotiate the debt - but then your credit rating is trashed for next 6 years, or they'll tie you into an 'Arrangement to Pay' for however long a period they decide. This again will trash your credit history but if you really are struggling, it may be the lesser of 2 evils.

https://forums.moneysavingexpert.com/discussion/1626051

Dobbibill

Can you not use the small payment amount plus some of the £500 in the bank account to reach the minimum payment each month?

You need to make at least the minimum to prevent a default/arrangement to pay/trashed credit file for 6 yrs.

You need to consider your options carefully before speaking to them.

Can you not shift the debt to another card at 0%?

Do they have a MT deal available to you - draw the £3k as a MT, pay off the £3k owed - pay minimum payments which are now at 0%. (remember to factor in the fee if applicable - normally between 1.9-2.9%)
You will still owe them £3k but at zero percent, therefore stopping interest charges.