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  • FIRST POST
    • Karl12347
    • By Karl12347 11th Oct 19, 1:43 PM
    • 7Posts
    • 0Thanks
    Karl12347
    Large payment
    • #1
    • 11th Oct 19, 1:43 PM
    Large payment 11th Oct 19 at 1:43 PM
    Hello

    So i have 8k outstanding on a 13k Barclays credit card.
    Over the last 2.5 years i have been putting money in a company share save scheme.

    It has recently come to light that the current share price is way lower than the rate i was promised so makes sense to get this money back and pay towards the card.

    I was wanting to know if i have say 1500 to pay towards the credit card, could i negotiate with Barclays to settle more of the balance for making a larger payment? I am not sure if this is something they offer?

    Also i would like to know if it is possible to request barclays to suspend interest payments without impacting my credit rating or going full debt repayment plan?

    Any advice would be appreciated.
Page 1
    • Willing2Learn
    • By Willing2Learn 11th Oct 19, 1:49 PM
    • 4,414 Posts
    • 3,958 Thanks
    Willing2Learn
    • #2
    • 11th Oct 19, 1:49 PM
    • #2
    • 11th Oct 19, 1:49 PM
    I was wanting to know if i have say 1500 to pay towards the credit card, could i negotiate with Barclays to settle more of the balance for making a larger payment? I am not sure if this is something they offer?

    Also i would like to know if it is possible to request barclays to suspend interest payments without impacting my credit rating or going full debt repayment plan?
    Originally posted by Karl12347
    You have a credit agreement that stipulates what you must pay. You cannot get a reduced balance without breaking the agreement.


    You can ask Barclays to freeze interest due to financial hardship. This will be recorded on your credit file as a Payment Arrangement (AP marker). The AP means that you have broken the original terms of your agreement, but have agreed a payment arrangement with your creditor. This is a negative marker and will remain on your credit file for six years.
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • zx81
    • By zx81 11th Oct 19, 1:49 PM
    • 23,837 Posts
    • 26,507 Thanks
    zx81
    • #3
    • 11th Oct 19, 1:49 PM
    • #3
    • 11th Oct 19, 1:49 PM
    If you pay less than you owe as a settlement, you'll default and scupper your credit file for a few years.

    Do everything you can to maintain payments, unless it's absolutely unsustainable, in which case you will be best to default and get it over with, rather than make an arrangement to pay, which will have a longer term impact.
    • Karl12347
    • By Karl12347 11th Oct 19, 1:56 PM
    • 7 Posts
    • 0 Thanks
    Karl12347
    • #4
    • 11th Oct 19, 1:56 PM
    • #4
    • 11th Oct 19, 1:56 PM
    If you pay less than you owe as a settlement, you'll default and scupper your credit file for a few years.

    Do everything you can to maintain payments, unless it's absolutely unsustainable, in which case you will be best to default and get it over with, rather than make an arrangement to pay, which will have a longer term impact.
    Originally posted by zx81
    Thats exactly what I wanted to know. I don't want this to happen so will just pay off what I have.

    thanks for your help
    • Man From Bath
    • By Man From Bath 11th Oct 19, 2:05 PM
    • 26 Posts
    • 31 Thanks
    Man From Bath
    • #5
    • 11th Oct 19, 2:05 PM
    Wind Up ?
    • #5
    • 11th Oct 19, 2:05 PM
    is this a joke ?

    You think if you pay some back they'll reduce more of what you owe and they'll freeze your interest rate ?

    Oh dear me.
    • Willing2Learn
    • By Willing2Learn 11th Oct 19, 2:06 PM
    • 4,414 Posts
    • 3,958 Thanks
    Willing2Learn
    • #6
    • 11th Oct 19, 2:06 PM
    • #6
    • 11th Oct 19, 2:06 PM
    ^^^ Well that was super constructive. Thanks for dropping by... ^^^
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    • Davy Jones II
    • By Davy Jones II 11th Oct 19, 2:18 PM
    • 183 Posts
    • 384 Thanks
    Davy Jones II
    • #7
    • 11th Oct 19, 2:18 PM
    • #7
    • 11th Oct 19, 2:18 PM
    Are you sure that your company promised you a certain level for your shares?
    • benroles
    • By benroles 11th Oct 19, 2:27 PM
    • 65 Posts
    • 27 Thanks
    benroles
    • #8
    • 11th Oct 19, 2:27 PM
    • #8
    • 11th Oct 19, 2:27 PM
    That is how share save often works. You start the scheme with your employer. At outset you are told the strike price for shares - often 80% value of current value (e.g. trading at 1, it'll be 0.80). You then save a set amount each month. At the end of the save period (e.g. 3 years) you can buy shares with that money at the pre-set price.

    The idea is to tie you in to the company and hopefully you make some money.

    HOWEVER, they are very nice as you don't have to execute the option. So, as here, if the price drops massively you can simply get the cash out.

    Worst case thus is you put money in a scheme and made nothing (and lost hypothetical interest your money could have earned elsewhere).
    • Sad_Dad
    • By Sad_Dad 11th Oct 19, 2:54 PM
    • 818 Posts
    • 11,736 Thanks
    Sad_Dad
    • #9
    • 11th Oct 19, 2:54 PM
    • #9
    • 11th Oct 19, 2:54 PM
    Correct, that is generally how share saves work. The one I was in has recently matured and the share price at maturity date was half the option price so I received my contributions back.

    It didn't come as a shock though as I regularly checked the share price.

    I did the same as the OP and borrowed the money on a credit card but as it was interest free the cost to me was only a couple of hundred quid.

    The only promise you should have received was that you at least get your money back, there is no guarantee that the share price at maturity will be greater than the option price.
    • Mr_Singleton
    • By Mr_Singleton 11th Oct 19, 3:06 PM
    • 1,530 Posts
    • 2,452 Thanks
    Mr_Singleton
    Your company doesn't seem to be doing too well...

    If they offered you 2 months salary up front would you be happy to only get 1 month as they're offering you a large chunk of money????

    Btw owing BarclayCard 8k on a credit card..... now that's gotta hurt! 20% interest???
    Last edited by Mr_Singleton; 11-10-2019 at 3:08 PM.
    • Sad_Dad
    • By Sad_Dad 11th Oct 19, 3:37 PM
    • 818 Posts
    • 11,736 Thanks
    Sad_Dad
    It might make sense (depends on a few variables) to leave the scheme early, get your contributions back and use that to pay all or as much as you can of your credit card balance.
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