ridiculously high interest. Help

loopylou3

I have an Abbey card which has balance of £7500. My minimum payment this month is £208 which i am finding extremely hard to pay along with numerous other debts. I noticed that interest charged last month was £205!!! So that means that if i pay £208 the balance will only go down by £5. I can't carry on like like this. Is it worth calling them asnd asking them to freeze interest. Would they do this, or at least reduce it? If so would this affect my credit rating? please help!!

GeorgeUK

I'm not sure if freezing the interest would affect your credit rating, but you can definately ask them to reduce the interest rate. Not too sure whether they would or not.

If your credit rating is fairly good (no late payments/defaults) and you have a decent salary, you could try applying for a virgin money card or similar that is offerring a 0% balance transfer promotion.

Do you know the monthly or APR interest rate for your current card?

DestroyingAngel_2

They must have a customer assistance department that can discuss alternative payment arrangements with you. What is your APR? Could you not ask them if this can be lowered? Or, if you have a mortgage, you could ask to consolidate your debt into a secured loan with a lower APR than what you're currently on.

CLAPTON

in the context of your other post I would suggest you stick to the debt free wanabee board... addressing the abbey debt in the overall context of 30k is probably not sensible... post up your SOA on the other board so people can see the total situation and be in a better position to help.

However, if you are going to ask for a interest reduction don't say you are struggling but say you can move it to another CC... (otherwie they might actually increase the rate on the grounds you are now a high risk customer)