Negotiating credit card payment

[Maryannesingleton]

Following my divorce, my house is finally selling and I will get a lump sum when this happens. I have 2 large credit

...cards which I really want to pay off and hope to have enough left for a good start on saving a deposit for a house. Both the cards are pretty much at their limit and I have been able to make the minimum payments until now. Is there any hope of being able to negotiate a reduced amount to clear the balances and keep the cards open without it affecting my credit record so that I can still get a mortgage in the next couple of years?

No hope whatsoever. Why would they accept a reduced payment when you have the means to pay the full amount? (unless of course you're planning on lying to them)

That’s what I thought, but everyone keeps telling me that I would be stupid to pay the full amount.

You spent it... of course you have you pay the full amount. If people are saying you'd be mad to pay the full amount who do they suggest makes up the shortfall?

I quite fancy a nice yacht. Should I borrow the money and then just tell them I don’t feel like paying for it?
Of course you should pay your debts in full. Then avoid using debt cards - as that is what credit cards actually are.

They can and do offer this but usually to people woth financial hardship. If you'll have enough cash left over to put towards a house deposit I imagine they'd want you to pay up

Fair point, thanks for the reality check

Yes I think it's right that people with limited means to pay can and do negotiate significant reductions. They have to declare their income and assets. So your house & sale would be taken into account - and as pp have said, you are in a different category.

There's nothing to stop you trying, though.

First off : if you can afford the minimum payment on them,
change the direct debit into a Standing order on each (see the spreadsheets thread to see how the magic works).
That will clear all card balances with little effort in less than three years.
When you get your lump sum, double the standing order amount on each.
THe debts will whoosh away
then
lock away some of the lump sum into savings
and
sort out your spending

Thanks, that will really help me

The only way to do what you’re suggesting is default on the cards, and generally wait for it to be passed to debt collectors. They’ll want an income and expenditure form (which I suppose you don’t have to be honest about when filling out, they never ask for actual proof). That’ll screw your credit record, and greatly reduce your chances of getting a mortgage any time soon. Even paying the reduced amount will show on your record as the default being partially settled, ie, you never paid the full amount.

If I were in your shoes I’d pay up when I could do and enjoy the buzz of being debt free. I think in the interim I’d suggest doing w couple of soft searches to see if you can switch the debt to an 0% Credit Card so your monthly payments are clearing it faster, and sort out a budget.

OP that is the most immoral thing l have heard all day, how selfish you are to expect others (who all have their own bills to pay) to fund your credit card bills.

Credit card companies put extra on all our bills to cover those who default or cannot pay, in the same way that shops put a % on the cost of items to cover the shoplifting.

You have the means to pay but don't want to. SHAME ON YOU.

Please RTFT
The OP has realised she was wrong.
She is going to clear down the debt using the Standing order trick.

I think it's a common misconception. Like common law wives.

One of our relatives stopped paying her cc because her partner said they can't recover the money 🙄

Mind you, dhs mental ex got a lump sum, withdrew it in cash over a week & went bankrupt for £50k cc debt. The insolvency practitioner didn't query where £30k had gone.