There are many reasons why paying a credit card bill could be a
problem. The important factor is to understand why paying the
credit card is a problem. Is it a short term finance problem? Or,
is it a long term issue which isn't resolving itself?
If you need credit card debt help, call our friendly
charity advisors on 0800 085 0226.
Can't Pay Credit Card
Your credit card is a form of unsecured credit
which allows you to purchase items and pay for them when the bill
comes in, either through the post or email.
When the bill arrives you have a designated amount of time to
make sure the payment reaches the credit card company. If the
payment doesn't arrive on time you will be charged an additional
fee. You could also lose any introductory benefits, such as a 0%
What Happens If You Don't Pay Your Credit
Credit is lent by companies . If you don't get in touch with the
credit company they will initially contact you via letter and
telephone. It's their responsibility to remind you that you have to
pay at least the minimum payment towards your debt each month.
If they fail to get a satisfactory response, or you miss
multiple payments, you could receive letters and visits from debt
Failure to maintain your credit agreements could mean a default
being added to your credit file which would last for 6 years. You
cannot have this removed once it's on your credit file before the
designated 6 years, unless it was placed on their unfairly.
Short Term Credit Card Debt Problems
For some people, their credit card debt problem is a short term
issue. For instance, they have become stretched beyond their
financial capabilities for one month and can't afford the
Some people can forget to pay their credit card because of one
off events, such as a family bereavement or the credit card
statement not being delivered. Usually telephoning your credit card
company after the event and paying the necessary payment will be
fine. The credit company may even remove their charges for the
Short term money problems, which are not debt related, can
usually be fixed quickly. We would not recommend taking out a short
term or payday loan to help pay other credit, such as your credit
card. Speaking to the company you owe money to can often resolve
short term money problems without high interest rates.
Long Term Credit Card Problems
If your monthly credit card repayment is being missed and it's a
long term problem (e.g. it's not the first time) then it's worth
considering the reason for this. By understanding the reason for
the missed payment you can take action to address the debt
There are common reasons for long term credit card debt
problems, such as,
Over - Stretched on Credit
There's only a certain amount of money available each month. As
debt repayments increase with interest and charges being added
monthly, it can be difficult to repay the debts as they fall due.
Multiple credit agreements and different interest charges can leave
you over-stretched each month and unable to repay all of your debt.
If this is the case, get debt help on 0800 085 0226.
When you can't repay your minimum payments to all of your debt
each month it can mean a debt solution is required. If you're
over-stretched then a debt solution would help you find an
affordable monthly payment to repay your debt.
Another reason for long term credit card problems and being
unable to pay the minimum payment is because of unemployment. Being
unemployed means your monthly income will likely have reduced,
however your credit liabilities will remain the same.
In this instance, our charity can give you help and advice to
negotiate with your creditors to create a short term agreement so
your creditors give you time to get back into employment. By
resolving your debt problems you are free to then focus on getting
back into work.
Credit Card Debt Solutions
There isn't one debt solution which is suitable for credit
cards, but all debt solutions take into account all unsecured
debts. This means any debt solution you apply for will include all
debts including overdrafts, credit cards, unpaid council tax, bank
loans, payday or short term credit, gas and electricity arrears
If you want debt advice to deal with any kind of credit card
problem please call our friendly advice team on 0800 085 0226. This
is a free telephone call from a landline. If you're telephoning on
a mobile please let us know and we'll call you back.
You can also email our support team at firstname.lastname@example.org
Wednesday, October 02, 2013
Debt Support Trust