# Credit card repayments



## shazok247 (12 May 2011)

Hi, I am struggling at the moment with my credit card re payments.  I foolishly owe 7500 and along with morgage and other house hold bills i am finding it hard to sort it out.  I agreed with the bank to pay 250 a month but that is basically covering the interest.  ANyone have any suggestions on how to help clear this bill.  I cannot afford more than the 250 a month at the momnet but it seems to be dead money


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## Slim (12 May 2011)

see this thread on AAM today: http://www.askaboutmoney.com/showthread.php?t=155419


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## helen63 (12 May 2011)

Is it just the 1 credit card you have (I didn't mean "just" as if it is nothing by the way) or other unsecured debt too?

If it is just the credit card then all you can do is try to make an arrangement with them and "ask" them to freeze or reduce interest or you can get an organiosation to do it for you such as payplan for example.

The only thing is that any arrangement like this will be "informal" and, although often the banks and cred card companies will freeze or reduce interest and accept lower payments, they are under no obligation to.

Do you have equity? Consolidating it into your mortgage may be an option to look at or even an unsecured loan at a good rate may reduce the payment while paying off the capital too as long as you take it out over a longer term to get a lower payment to make things easier.


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## redfedora (12 May 2011)

could you maybe look at getting a credit unoin loan to pay of the credit card debt? sounds mad more debt to cover existing debt,  but the CU loans are at a lower interest rate so you wouldnt have as much to pay, as you say you're only covering the interest as it is and each month that gets added on and you get nowhere its like trying to hold back a wave with a bucket.

also have you considered switching your CC to another company? not sure if they are still doing it but a lot of them use to give 6 month interest free on transfered balances if you moved to them. so you transfer over get you 6 months free. dont use the new card and that 250 a month goes off the balance so after the 6 months you now owe 6K. maybe try that again with another card company if you can after that.


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## franknew275 (12 May 2011)

shazok247 said:


> Hi, I am struggling at the moment with my credit card re payments. I foolishly owe 7500 and along with morgage and other house hold bills i am finding it hard to sort it out. I agreed with the bank to pay 250 a month but that is basically covering the interest. ANyone have any suggestions on how to help clear this bill. I cannot afford more than the 250 a month at the momnet but it seems to be dead money


 hi sorry to hear about your dilemna but am in exactly the same boat, I cintacted the company in writing (keeping copy) and explained situation (Im skint) and offered €50 per month for the next six monthes if they agreed to stop charging interest and froze the account, they agreed giving me a bit of breathing space without the debt inceasing, hope this helps


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## shazok247 (13 May 2011)

Thanks slim for the thread.

Helen63 I do have other loans also not much but i hadn't thought of consolidating with the morgage, might look into that thanks.

Redfedora, I have already asked the CU for help and they refused saying they were unwilling to take over the loan, I asked if they could help in any other way and thye could not so that was a bit of a dead end.

Franknew275, this is something i haven't tried, i have been talking to them over the phone but maybe a letter to ask to freeze the interest might work. Thanks for the suggestion.


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## marfsmal (15 May 2011)

Frank, what impact does that have on your credit rating? Or how does it impact on your credit rating with the ICB?


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## redfedora (16 May 2011)

shazok247 said:


> Redfedora, I have already asked the CU for help and they refused saying they were unwilling to take over the loan, I asked if they could help in any other way and thye could not so that was a bit of a dead end.
> .


 
sorry to hear thatm, I know i did what i suggested a few years ago, but I didnt owe that much, only wanted 2-3K and had some savings with them.


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## binterdontat (17 May 2011)

Does anyone care anymore about a credit rating who needs credit anymore seriously after what has happened perhaps the best lesson must be if its not in your pocket you cant pay for it. let it go to a collector or agent or whomever it it ends up with suffer the **** that goes on with the credit ratings etc I could be wrong but i believe the interest can stop there so if you pay 100e its off your bill full stop. Cut your card up today. If you have to have a visa card for booking flights etc on line open an ulster debit card (one of the only on offer in Ireland ..I stand corrected) that means if you keep throwing in a few quid its there for when you need to book etc...Pay off what you can or i am afraid to suggest let it go to a collector and then negotiate what you can pay off per week/month but i believe thats the end of the bill what you pay is what you get. so if you pay 50 its directly deducted no interest. Offer to put a standing order in place for whatever you can work out that you can comfortably afford and i am wary to admit that i am paying 300 per mth off a bill a lot higher than yours but its straight off the bill and no interest is being accrued.  ...ps. i am not happy with your description of being foolish...cos then i am not quite sure of my description and i like to to think of someone whom took risks enjoys new adventures used to employ a lot of  people takes a chance but f..ks up now and again but willing to pay all my bills if i can and when i can. i have said this before in another section we are all in the same boat!!!


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