Credit card interest

Bluboy6471

I have a credit card that i am currently paying off, however the card is frozen, i am unable to use it, but the lender is charging interest on the account each month, im not sure they should be doing this, could i also claim any of the interest back? TIA

[Deleted User]

No. The interest is detailed in the agreement you signed and is being charged in line with those terms.

Interest is charged for borrowing money, not for card usage.

dunstonh

It is normal to pay interest on a debt you owe.  The fact they have stopped you adding to the debt with new purchases does not mean they will stop charging you interest.      When you repay the debt, the interest will cease being charged.

MalMonroe

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

smashinglynaive

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

MalMonroe

smashinglynaive said:

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

Well that's not true, is it? It certainly DID work for me (with heavy emphasis on the DID part) because when I phoned Capital One a couple of years ago and asked for a reduction in my interest rate from 34.9% to 26%, they agreed. They did not 'give away their product for free' at all. I still paid interest, and remained a loyal customer until I switched to a 0% balance transfer card. 

The OP can ask, for nothing. And the OP COULD apply for a Balance Transfer card, too. 

I really do get tired of all the negativity around here. If people never give things a go, be cheeky and ask for things, they won't get them, no. I know Martin Lewis sold this site but even HE recommends that people 'give it a go' - even if they fail. At least they tried!!

[Deleted User]

smashinglynaive said:

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

If they got some more money as a result of OP not doing a DMP or bankruptcy it's better than pushing them for money they don't have. Financial hardship they often freeze interest for example

SavvySaverSam

MalMonroe said:

smashinglynaive said:

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

Well that's not true, is it? It certainly DID work for me (with heavy emphasis on the DID part) because when I phoned Capital One a couple of years ago and asked for a reduction in my interest rate from 34.9% to 26%, they agreed. They did not 'give away their product for free' at all. I still paid interest, and remained a loyal customer until I switched to a 0% balance transfer card. 

The OP can ask, for nothing. And the OP COULD apply for a Balance Transfer card, too. 

I really do get tired of all the negativity around here. If people never give things a go, be cheeky and ask for things, they won't get them, no. I know Martin Lewis sold this site but even HE recommends that people 'give it a go' - even if they fail. At least they tried!!

Co-signed. 

Barclays have ceased charging ALL interest on my credit card and even backdated X amount of months. 

However, a few years ago I asked them to reduce the interest rates but they declined. 

You’re right though… We do need to at least try!! 

smashinglynaive

MalMonroe said:

smashinglynaive said:

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

Well that's not true, is it? It certainly DID work for me (with heavy emphasis on the DID part) because when I phoned Capital One a couple of years ago and asked for a reduction in my interest rate from 34.9% to 26%, they agreed. They did not 'give away their product for free' at all. I still paid interest, and remained a loyal customer until I switched to a 0% balance transfer card. 

The OP can ask, for nothing. And the OP COULD apply for a Balance Transfer card, too. 

I really do get tired of all the negativity around here. If people never give things a go, be cheeky and ask for things, they won't get them, no. I know Martin Lewis sold this site but even HE recommends that people 'give it a go' - even if they fail. At least they tried!!

You clearly didn't read the OP. The "reduction" they are seeking is the outright removal of any interest charges (including historical ones) which I'd say is a pretty good match for "giving your product away for free."

phillw

smashinglynaive said:

which I'd say is a pretty good match for "giving your product away for free."

Some lenders will do that as they would rather you hang in there and pay the debt back rather than throwing in the towel and declaring bankruptcy.

You have to ask, but a lot of lenders will do it if they think you're really in trouble.

They also want to avoid any irresponsible lending complaints...

MalMonroe

smashinglynaive said:

MalMonroe said:

smashinglynaive said:

MalMonroe said:

You could phone your card provider and ask if they will reduce your interest rate. I'm not sure if that will work during this time of covid but a couple of years ago I tried it with my credit card provider and they agreed to lower it. It's worth a try. Even if the answer is no.

Do you think you would be eligible to apply for a balance transfer card at all? That would give you a period to repay without paying any interest. See the link below, from this very site - it's really up to date, too. 

https://www.moneysavingexpert.com/credit-cards/balance-transfer-credit-cards/

It wouldn't work at all, COVID or otherwise.

Why would a lender, with heavy emphasis on the lender part, agree to give away their product for free?

Well that's not true, is it? It certainly DID work for me (with heavy emphasis on the DID part) because when I phoned Capital One a couple of years ago and asked for a reduction in my interest rate from 34.9% to 26%, they agreed. They did not 'give away their product for free' at all. I still paid interest, and remained a loyal customer until I switched to a 0% balance transfer card. 

The OP can ask, for nothing. And the OP COULD apply for a Balance Transfer card, too. 

I really do get tired of all the negativity around here. If people never give things a go, be cheeky and ask for things, they won't get them, no. I know Martin Lewis sold this site but even HE recommends that people 'give it a go' - even if they fail. At least they tried!!

You clearly didn't read the OP. The "reduction" they are seeking is the outright removal of any interest charges (including historical ones) which I'd say is a pretty good match for "giving your product away for free."

I did read the OP, thanks. And I always say, why NOT ask?!  

My original comment was directed at the OP. If you never ask, you will never get. I asked, and they did it for me. What's the harm in asking for outright removal? The card issuer may say yes, or no, or well, we'll give you a cut. As I said, really tired of all the negativity. Sometimes people who are 'helping' advise people to 'leave it' or 'don't even try'. Asking - on the phone - means that you lose absolutely nothing and you're not even embarrassed because the credit card company rep doesn't even see your red face. 

Why would you intercept my response to the OP when you are NOT helpful at all? OP can either take notice of me, or not, as per my signature. And so can you.