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GAVBU28

Barclaycard and new Government legislation

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Hello, can anyone help please?

 

As part of new City regulators affordability rules I'm about to have my barclaycard (£6000 balance) taken away from me as I'm only meeting the monthly payments and never clearing down the balance. Barclaycard wrote to me and asked for £750 a month which is way out of reach on my income. 

 

Having been around this site for many years I'm very reluctant to speak to them, does anyone have any advice on how I should proceed here? This card is around 5yrs old and I'm committed to paying off the debt. Stopping the interest and agreeing a payment plan would suit me but will they go for it? Should I let it default and just deal with the debt agency? 

 

Any advice would be most welcome.

 

many thanks

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Not really new was introduced in Sept 2018......

 

 persistent debt for 18+ months... lenders must contact customers, prompt them to change their repayment and warn their card may be suspended if they follow the same repayment pattern. They must refer to any debt advice available.
 

persistent debt for 27+ months... They will be sent a reminder of the information above.
 

persistent debt for 36+ months... lenders must offer customers a reasonable way to repay their balance. If customers are unable to pay, the FCA says the firm must show 'forbearance' and may have to reduce, waive or cancel any interest, fees or charges.

 

https://www.fca.org.uk/news/press-releases/new-credit-card-rules-introduced-fca

 

Andy


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why don't you send them our pro rata letter in the debt collection section of our library.

that way it puts them to notice of how you are proposing to deal with you debt and if they don't help (as they must) by freezing int and charges, you then have a stick to beat them with?

 

I agree with your default thinking, the quicker they default this (which they should once), the better it is for you in the long run financially and credit file wise.

 

as for any DCA, until/unless BC sell it on, rather that just get a DCA to pointlessly chase you should they not agree to the above, you ignore any DCA

they are NOT BAILIFFS.

 

 


please don't hit Quote...just type we know what we said earlier..

 

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Many thanks, sound advice as always.

 

I'll send over a pro-rata letter with income and expenditure and see what transpires.

 

Appreciate the help.

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pers i'd insist they default you and mark the debt as such.

don't wait for them to agree

pay what you said when you said

then see if they agree to your terms

id not letter two time that's there as well.

 

dx

 


please don't hit Quote...just type we know what we said earlier..

 

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What's  your minimum monthly contract payment at the moment ?


We could do with some help from you.

PLEASE HELP US TO KEEP THIS SITE RUNNING EVERY POUND DONATED WILL HELP US TO KEEP HELPING OTHERS

 

 Have we helped you ...?         Please Donate button to the Consumer Action Group The National Consumer Service

 

If you want advice on your thread please PM me a link to your thread

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They have requested I pay £750 a month to reduce the balance, I currently pay £140, but never pay anything off, just keeps the card alive.

 

To be honest they're doing me a favour, if they agree to £135 a month, stop interest and fees it will be cleared in 4yrs.

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Its entirely your choice which way to go with this and if you wish to retain the use of the card and avoid a default.....or lose the use and accept a default.

 

A couple of points to bear in mind though...the T&Cs of the agreement at inception stipulated the payment arrangements ..the minimum payment and % of balance that would have to be paid to to comply with the current T&Cs....which you are complying with.....so you have not breached the agreement nor is there any reason for the service to be terminated.

 

You have not been issued with a revised agreement not have the T&Cs been amended.

 

Just because some half baked scheme as been dreamt up to deal with persistent debt balance does not exclude it from complying with the CCA19974 and falling foul of section 140 A   Unfair relationships between creditors and debtors.

 

http://www.legislation.gov.uk/ukpga/1974/39/part/IX/crossheading/unfair-relationships

 

You cant move the goal posts half way through the match.

 

Andy


We could do with some help from you.

PLEASE HELP US TO KEEP THIS SITE RUNNING EVERY POUND DONATED WILL HELP US TO KEEP HELPING OTHERS

 

 Have we helped you ...?         Please Donate button to the Consumer Action Group The National Consumer Service

 

If you want advice on your thread please PM me a link to your thread

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