credit card debt

[chrissa1]

We have been paying off a credit card debt of �8,000.00 by monthly instalments of �220.00 per month for the past 5 or so years. The balance every month is reduced by about �50.00 or less, due to Payment Protection Insurance, (probably not worth the paper it's written on) and interest. This debt is going to follow me to the grave. Is there any way of stopping the Insurance and the Interest?

[andy-hughes]

Have you looked at moving your account?

Even if you don;t shift the whole debt, you could spread it over two or more cards - most offer up to thirteen months of interest free payment on balance transfers.

Try this as an option first of all.

[bednobs]

the insurance is not compulsory - just ring them and tell them you dont want it anymore. You could alays ask them to reduce the rate of interest but it's quite unlikely they'll say yes!
You have already paid them over 13 000 pounds for an 8000 pounds debt- how much of the debt is left now??
Anyway, if you can afford to pay that regular amount, it might be better to try and negotiate a loan for the remaining amount which will be at a lower interest rate

[andy-hughes]

My second suggestion - as posted by bednobs.

Any loan from a bank will be cheaper than a credit card debt. Do not go to any money-lenders or anyone but a reputable finance dealer.

You should talk to your local Citizens' Advice Bureau who will give you debt advice free of charge - your debt is out of all proportion and needs sorting - and fast.

[phillipa.d]

Re payment protection insurance, check out moneysavingexpert.com, heard their guy Martyn Lewis on TV loads of times telling people there is a template on site for a letter to send to company, asking for protection insurance to be returned; and it works too, one of my kid's friends mum has just had 8 grand back!!!!!!!! Apparantly they have been mis-selling these products for years. And as other posts say, move balance to zero per cent balance transfer rate, or loan (i actually went overdrawn to pay off my card, cos it worked out cheaper, and the bank reduced my overdraft limit by set amount every month, which made sure I did pay it back, if you see what i mean.

[LissyDoll]

Saw this on the Martin Lewis website yesterday and wasn't relevant to me, but might be of interest to you:
http://www.moneysavingexpert.com/reclaim/ppi-l oan-insurance#nutshell
There should also be information on transferring the balance to a card with an interest-free period.
Sorry my answer isn't specific but thought it might be a good place to start! Good luck x

[LissyDoll]

Sorry if I duplicated advice - there weren't any replies when I started to write! x

[phillipa.d]

I normally do that, Lissy!!!!

[chrissa1]

Thank you one and all. My credit rating is rubbish so getting another card is not an option, but will definitely look at the Martin Lewis web site for that letter.