Barclaycard changing their minimum payments

mro

Anyone else had a letter from Barclaycard changing their minimum monthly payments from the Sep statement ?

MABLE

mro wrote: »

Anyone else had a letter from Barclaycard changing their minimum monthly payments from the Sep statement ?

What does the letter say please?

Superscrooge

If you have only been making minimum payments for 18 months and are in persistent debt, the letter might be related to the below?

https://www.moneysavingexpert.com/news/cards/2018/02/new-credit-card-rules-to-help-those-in-persistent-debt

From 1 September, firms will be required to take escalating steps to help once they identify someone as having been in persistent debt over 18 months:

After someone has been in persistent debt for 18+ months... lenders must contact customers, prompt them to change their repayment and warn their card may be suspended if they follow the same repayment pattern. They must refer to any debt advice available.

[Deleted User]

mro wrote: »

Anyone else had a letter from Barclaycard changing their minimum monthly payments from the Sep statement ?

I'm going out on a limb here and going to say yes.

foxy-stoat

All the card companies are doing this - its to help the folk who dont pay down their credit card debt.

MABLE

Nothing received as yet. However balances on my BC cards are cleared every month. The only exception is if I am on a promotional rate and that is not normally longer than 18 months.

sparkey1

foxy-stoat wrote: »

All the card companies are doing this - its to help the folk who dont pay down their credit card debt.

However if you are struggling, the last thing you need is to have to pay more each month.

foxy-stoat

sparkey1 wrote: »

However if you are struggling, the last thing you need is to have to pay more each month.

Agreed - so better to pay down the debt when its at a low rate than just the minimums for ever.

T-G-C

Vanquis starting doing this from August, however, as a remediation attempt, the cash interest rate was lowered to match the purchase rate, making both now the same borrowing cost - excluding the 3% fee.

starM

What about if someone has 0% for 30 months and for this reason they are just paying the minimum payment. After 18 months they will be asked to increase the payments?

jonesMUFCforever

starM wrote: »

What about if someone has 0% for 30 months and for this reason they are just paying the minimum payment. After 18 months they will be asked to increase the payments?

Yes but if you overpay by just £1 per month you won't.