Several years ago I developed a chronic medical condition,lost my job & was unemployed several years. I used my savings to pay my credit cards until I missed 2 payments in a row. I contacted the credit card company, worked out a deal to pay them back.
I am now employed, current on my bills & have been for several months even though they are charging me an usurious interest rate 29.95% I believe. I have not used this card since several months before my missed payments. I contacted the card company to lower this amount but they refused.
What are my options?
2007-01-19 03:22:43 · 8 answers · asked by hungryhart 3 in Business & Finance ➔ Credit
You can call them to reduce the rate. They may reduce it slightly. Here's a trick that I do. I save all of the offers I get in the mail. Many times there are offers that will give you 0% or less than 5% interest if you transfer your balance from one card to another. So, basically you can carry a balance with little or no interest for 6 months to over a year in some cases.
Then, when the low rate is going to expire, do it again and transfer to another card with a great offer.
It is completely legal and really improves your credit. The credit report shows that you paid off a card in full, when all you did was just move the money around. However, with such low rates you should be able to pay off the debt.
Good luck
2007-01-19 03:33:24 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You pay as much as possible every month from the outstanding amount. Never keep payments close to the minimum amount due.. Once your increased rate of payments becomes a steady pattern , you can ask the same company or other company to give you a line of credit which you can use for any emergencies, but continue with the enhanced payment. After a year, ask a Bank for a Loan to cover the remaining outstandings and pay off the credit card company. Thereafter , use the credit card only for convenience of not carrying cash, but not for credit.Settle the bills promptly and they will go on enhancing your limits. Never exhaust your limits and never default in the card payments hereafter. Slowly, but surely, buld up a savings pool to tide over emergencies like the loss of a job or an illness in the family,etc.
2007-01-19 03:41:48 · answer #2 · answered by Anonymous · 0⤊ 0⤋
What I would do is get a credit card with a really low interest rate and pay the others off with that one.
2007-01-19 03:34:06 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Generally they do give a due date. Try tomake the payments before the due date to avoid any penalty. There some banks who give a 60 day interest free period. If one can settle before the due date it will not attract any interest.
2007-01-19 03:31:32 · answer #4 · answered by Raghav 4 · 0⤊ 0⤋
you have to find a card with a better rate. make it your mission. i think they have already jacked up your interest as high as they can, what do you have to lose. be polite but persistent.you current creditors are under no obligation to give you a better rate, but before you give up, try asking supervisors as far up as you can to give you a better rate. try every month. with that said, smaller banks and credit unions can give you a better deal.
2007-01-19 03:28:42 · answer #5 · answered by Jen 5 · 0⤊ 0⤋
cancel the card and pay them as much as you can every month. As long as you attempt to pay they have a hard time taking you to court
2007-01-19 03:33:14 · answer #6 · answered by Anonymous · 0⤊ 0⤋
Try to clean up your credit report: http://www.jdoqocy.com/click-1995821-10293241.
2007-01-19 03:34:12 · answer #7 · answered by Byron W 3 · 0⤊ 0⤋
pay it off
2007-01-19 03:29:54 · answer #8 · answered by Anonymous · 0⤊ 2⤋