It's all gone a bit Pete Tong!

blackangeluk

Thought I had got past the stage of being afraid of opening mail - but ho hum came back from a lovely few days away to visit family to a letter from MBNA. We have about £6,400 on a CC with them which we have balance transfered and we only have to pay the minimum of £5 a month on it. Well...............they have changed the terms for us to now pay 5% YES 5% of the balance every month instead - which equates to about £320 :eek: :eek: :eek: :eek: :eek: Quite a big leap from £5!!!!

Now have to start looking around to see if I can transfer this balance somewhere else instead - only thing that worries me is that if others follow suit and changed terms to 5% we would most definately be up the creek without a paddle!!!

hypno06

Oh pants. Is about the most constructive thing I can think of to put.

MBNA are like pimples on the backside of something - can't even think what is undescribable enough! I long to be rid of them personally - but sadly won't be for some time.

Hugs to you hun x

GettingThingsDone

oh no - i just signed up to them - doh!

gtd

Seaxwyn

Oh no, that's a bummer

Any news on your job and possible redundancy yet? (sorry, I don't mean to depress you even more).

On the plus side, if you can find the money, at least the debt will reduce faster.

blackangeluk

Bummer fits the situation quite well :rolleyes:

Agree with you Seaxwyn, my first thought was panic, second was to BT to another card (BUT I don't want to pay the fees!) and third thought was to try and sell/save as much money as possible to make the payments so that it will be gone a lot quicker! Think my monthly shortfall will be about £160 and so I will have to try reeeaaaallllllyyyyy hard but I might be able to do it Suppose if I can't I can then apply to BT it?

Re my job situation - it is still so up in the air - we have a couple of big cases in the pipeline but there is one that might be charged in May - if that is charged we have job security for 3 years+ and wage increased, if it isn't - back to the creek without a paddle the time scale keeps being changed every month. For now I am just doing my best to pay off what I can and will fall back on the redundancy cover.

The most annoying thing was when I found out all I wanted to do was post on the board!

Seaxwyn

And the amount will go down too - £320 this month, £305 next etc

I had a similar jump last year - from £5 to 2% - and I'm quite glad now as I do see the balance reduce substantially every month.

lunar

I really hope other companies dont follow on this route, i would be completly up s**t creek. Im also only just happy to open my post since my LBM

blackangeluk

Seaxwyn wrote: »

And the amount will go down too - £320 this month, £305 next etc

I had a similar jump last year - from £5 to 2% - and I'm quite glad now as I do see the balance reduce substantially every month.

This is mu current thought process - I am going to try and overpay the card by about £400 this month as we have been paid some money overpaid from nursery and that should bring it down to £6k which makes the payment £300 and then reducing it..... I will do my absolute best ......I also have the 2 month council tax break in Feb and March which will cover the shortfall as well, so yes maybe it is not all horrendous bankrupting news and I can survive.

You see when I got this letter and couldn't post on here for support I was all of a flutter.............

immoral_angeluk

With all our cards it states a minimum of £5 or x% whichever is greater

Donedoingdebt

Don't forget, pain in the a##e that this is, the more you can overpay, the less you're stuck in the credit card interest trap. Even if you can overpay by just £5 monthly then this will decrease the time left to pay.
Alternatively, set up a standing order for next months minimum payment & leave it at this amount thereafter. I'm not sure of the exact figures, but this will take many years off your overall payment time.
Good luck.

ZTD

Donedoingdebt wrote: »

Don't forget, pain in the a##e that this is, the more you can overpay, the less you're stuck in the credit card interest trap. Even if you can overpay by just £5 monthly then this will decrease the time left to pay.
Alternatively, set up a standing order for next months minimum payment & leave it at this amount thereafter. I'm not sure of the exact figures, but this will take many years off your overall payment time.
Good luck.

I think the snowball calculator is your friend in this situation. Takes all the guessword out of it.