Thread: Is Interest Included in the SMALL CLAIMS 5k limit?

I owe Halifax Card Services (BOS) about £5150. Advice please....

They are being very reasonable at the moment, having refunded interest to my account and not charging me fees even though I haven't made a 'proper' payment to them for almost a year. (I hate saying nice things about banks - especially as HCS can be really patronising on the phone!).

It will eventually end up in Court - my total available for debt repayment is a negative figure!

However, would it be better for me for the case to go through 'Small Claims'? If so, then I have to get the amount below £5k don't I?

If I pay them £150 today to take it below £5k and then they add interest to take it over £5K, am I back where I started or does interest not count?

If interest doesn't count, can I not calculate that I have borrowed a total of (fictional) £15k on the card, paid back £14k so the amount outstanding is £1k + interest (say 4,500) and then it would definately be below the Small Claims limit?

If you can understand what I'm going on about - well done, my head isn't wired right tonight!

Similar Threads:

• AQ & limit of small claims
• £750 Small Claims Limit what should we do?????
• Interest not included in £5000 limit?
• Section 69 interest - included in Small Claims Court limit?
• The 5000 limit for small claims

Thanks for that.

That makes sense now my brain is working okay! Is there a date when the amount due is fixed?

Am I right in thinking it would be better for me if the case was 'Small Claims'? What I fear is that if it goes to the main courts I will have to pay all the legal costs as well.

If the court papers are issued for, say, £5,500 would it be possible to reply to the court paperwork saying I accept the amount due and have paid a cheque to Halifax for £600 (thus taking it to 4900). Would the court then direct it to the Small Claims?

Thanks everyone