Credit Card - MBNA - Settlement?

GreenmanBRS

Hello all,
I was just wondering if it is possible to request a settlement figure on a credit card at all? Similar to a loan, I was not sure if there was a way to do this if you can pay it all upfront or if the credit card balance will just have to be paid off as normal? The credit card has not had anything added to it in years and the interest is immense. I am presuming the answer is no but always worth throwing it out there!

Cheers

bradders1983

The only way this would ever be considered would be to trash your credit file in the process by defaulting on the card.

GreenmanBRS

bradders1983 said:

The only way this would ever be considered would be to trash your credit file in the process by defaulting on the card.

Ah fair enough - Yeah, think paying off in full is the only way then. Thanks for the reply! 

molerat

A credit card and loan are exactly the same in the way the settlement figure is calculated, a credit card gives you the settlement figure every month.  A loan only seems different because the figure you see on documentation includes future interest.

born_again

molerat said:

A credit card and loan are exactly the same in the way the settlement figure is calculated, a credit card gives you the settlement figure every month.  A loan only seems different because the figure you see on documentation includes future interest.

With a loan you can ask for a settlement figure & they will give you one. Pay it off on the given date and that is it settled. No trailing interest.
You will not get the same on a credit card.
Can't think of a way to avoid any trailing interest on a credit card that has a unpaid (rolling) balance. Even if you pay it off in full on statement date, there is still some interest from the previous month.
Loan & Credit card are different beasts as far as credit goes.

GreenmanBRS

Thank you for all your replies. 
They're not mine thankfully but was trying to see if there was ways to reduce the debt down if it could be paid in full. Sounds like there is only one way to go.

Naomim

Depends if you want to take the hit on your credit file. You can ask for a payment arrangement where they will hopefully cease interest and charges whilst it's paid off at an agreed amount per month or could you look at getting a balance transfer card and transferring it to a 0% interest or low interest card?

molerat

born_again said:

molerat said:

A credit card and loan are exactly the same in the way the settlement figure is calculated, a credit card gives you the settlement figure every month.  A loan only seems different because the figure you see on documentation includes future interest.

With a loan you can ask for a settlement figure & they will give you one. Pay it off on the given date and that is it settled. No trailing interest.
You will not get the same on a credit card.
Can't think of a way to avoid any trailing interest on a credit card that has a unpaid (rolling) balance. Even if you pay it off in full on statement date, there is still some interest from the previous month.
Loan & Credit card are different beasts as far as credit goes.

My take on op's question was that they expected a much smaller settlement figure than the amount quoted on the statement as you would see with a settlement figure on a loan compared to the amount owed which would usually include interest to end of term.