Amex business charge card late payment

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  • asm3k1
    asm3k1 Posts: 7 Forumite
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    It is not for definite as there is a chance I can get a loan but the interest won't be ideal. It may sound silly but the reason I have not asked Amex themselves is that I am afraid to ask incase they decide to suspend/close my account as it is quite important that I have access to my card to make other purchases. I've been with Amex for many years now and the benefits are great so I wouldn't want to lose this. I think we have a decent reason but whether Amex will consider anything I say, I have no idea.

    I guess I am just hoping, there is a chance they have a deferral programme or will excuse this as a one-off.
  • John-K_3
    John-K_3 Posts: 681 Forumite
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    asm3k1 wrote: »
    It is not for definite as there is a chance I can get a loan but the interest won't be ideal. It may sound silly but the reason I have not asked Amex themselves is that I am afraid to ask incase they decide to suspend/close my account as it is quite important that I have access to my card to make other purchases. I've been with Amex for many years now and the benefits are great so I wouldn't want to lose this. I think we have a decent reason but whether Amex will consider anything I say, I have no idea.

    I guess I am just hoping, there is a chance they have a deferral programme or will excuse this as a one-off.
    They will probably suspend or close your account. Amex is not a credit card, you should not be using it if you can’t pay it off in full each month.

    Have you anything that you can sell to make the payment, or can you take on some extra work?

    What’s happened here?
  • Ben8282
    Ben8282 Posts: 4,821 Forumite
    Combo Breaker First Post Newshound!
    edited 13 April 2018 at 4:29AM
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    Amex don't like late payments on their charge cards. You would be much better off getting the loan and paying the charge card on time.
    I believe calling them and asking for a 'deferral' as suggested would be unwise. Have never heard of a 'deferral programme'. Is it some sort of US thing? Deferrals and deferral programmes?
    Don't imagine for one moment that once the first payment is missed Amex will continue to allow you to make the further substantial purchases. They will not let you run up some sort of massive balance on a charge card with a missed payment.
  • asm3k1
    asm3k1 Posts: 7 Forumite
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    I made a lot of purchases, I have just one active employee, the other is off ill so there is a big backlog processing everything. The main reason is that HMRC has not made a VAT repayment, I have had a VAT inspection for this which has tied my time. I haven't done anything wrong but it has wasted a lot of time and pushed everything back. I wouldn't be able to sell enough stock in time, unfortunately, to pay off six figures.
  • asm3k1
    asm3k1 Posts: 7 Forumite
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    I did come across on Google some mention of this in the US, it's unclear if this is available in the UK and for a charge card.
  • Ben8282
    Ben8282 Posts: 4,821 Forumite
    Combo Breaker First Post Newshound!
    edited 16 April 2018 at 1:25AM
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    You are a small business with just two employees and have been allowed to run up a SIX FIGURE balance on an Amex charge card? Almost defies belief. I had no idea the amount was so much. They certainly will react pretty quickly if a late payment occurs with that sort of balance outstanding.
  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
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    Can you not approach your business banking manager to arrange a short -term overdraft to cover this debt?
    If your books show the business making a profit they should be able to help.
  • asm3k1
    asm3k1 Posts: 7 Forumite
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    jonesMUFCforever wrote: »
    Can you not approach your business banking manager to arrange a short -term overdraft to cover this debt?
    If your books show the business making a profit they should be able to help.

    I recently changed from a sole trader to a limited company, my bank says they can not offer me an overdraft despite providing accounts, even then I do not think they would offer any way near enough. The odd thing is that I had an overdraft as a sole trader but this was removed despite being the same business essentially. Not a good experience with Santander, almost impossible to get hold of the business manager for anything timely.
  • asm3k1
    asm3k1 Posts: 7 Forumite
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    Ben8282 wrote: »
    You are a small business with just two employees and have been allowed to run up a SIX FIGURE balance on an Amex charge card? Almost defies belief. I had no idea the amount was so much. They certainly will react pretty quickly if a late payment occurs with that sort of balance outstanding.

    Yes that is my problem not knowing how they will act. As long as you pay off the card you can quickly increase the limit.
  • Ben8282
    Ben8282 Posts: 4,821 Forumite
    Combo Breaker First Post Newshound!
    edited 18 April 2018 at 5:12AM
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    While I agree that spending and maintaining an excellent payment history on a charge card will result in you being able to spend more, I still find it difficult to believe that a small business with 2 employees would be allowed to spend 6 figure amounts.
    You say that the cause of the problem is that you are waiting for a VAT refund from HMRC. A six figure VAT refund?
    Your own bank is refusing you any overdraft whatsoever yet Amex allow you to charge £100K+ to your charge card and your business receives £100K+ VAT refunds?
    If your business has that sort of turnover and the money is passing through your account, then why no overdraft facility?
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