Minimum Payment Hike

From the minimum repayment figures you quote, you presumably have an outstanding balance of at least £20,000.

You need to calculate what monthly repayment you realistically can afford and contact your issuer.

Also, perhaps close this thread and post on the Debt-Free Wannabe board for advice.

mmm123 wrote: »

What would have been a £400 minimum repayment will now be £620! Are they allowed to do that! Can they just change the rules so easily - it is going to be hard for me to find this extra money every month

It seems they can. I think it's wrong and unfair given this process wasn't in place when you ran up the debt. Somebody, such as you, shouldn't be put into a situation where a rule change pushes you into missing payments etc.

Personally I think the same rules should apply as with interest hikes. You should be free to reject and continue on the existing basis.

You could try complaining but I doubt you'll get anywhere because, supposedly, they'll be able to say that the change in underlying regulation is designed to "help" you.

A4445 wrote: »

I!!!8217;d call them to see if they can come to an arrangement.

All very well, but that will likely be noted and mess up the OP's credit history.

OP: is there anyway you can apply for a new card and shift the balance, ideally at a lower/0% interest rate?

So with customers paying less interest per year......where will they earn all there profits

Personally, I would be looking to see how I can get that debt down. All you need is a 'loss of earning' for whatever reason and you will be 'up the creek'. I am speaking from experience as ended up with a DMP (£28K worth of CC debt). As a consequence interest rates are frozen and the debt starts to reduce. Unless you have some payment plan in place, this debt will go on forever. Its a bitter pill to swallow, but most likely your credit report is already shot to pieces with only paying minimum payments.

I have no idea of defaulting rates etc on credit cards. But if people are forced to pay more, then in the short term will this not push up defaults?

From my own perspective......I was in credit card trouble about 6 years ago.......credit was and I think is still to easy to get and credit limits are increased far to soon and without check.

For example....my aqua card has a increase twice in the last year and is now 4 times the original limit that I started with just over 14 months.

Also my amazon card ( classic ) has a limit increase twice and been upgraded to the premium version with a limit of 5K from a initiL limit of 500 pounds.

Now I!!!8217;ve learnt my lesson in relation to spending money I don!!!8217;t have, but as I say credit to far to easy to obtain and credit limts increased far far far to soon