Help - Additions catalogue and interest rising to 44.9%

[Ballina]

Has anyone got experince of this? Minimum monthly payments have shot up to over £100 and I think this is just paying interest

could you try CAB?

Ring Additions and say you are having dfficulties with payments.

Me and DP had to do this last year with lots of companies (we were in a mess to say the least)

99% have stopped or reduced the interest and cut minimum payments.

Obviously you can't order from them anymore but I have realised this is probably a good thing for us.

Good luck

Ballina can you transfer your loan to a 0% for 9 months credit card. It would save you £600 or £700 if you owe additions that much.

How much do you owe them? To say I am shocked and appauled at 44% interest is an understatement. That is the worst interest rate I have ever seen in my life.

How long have you been buying stuff from there?

If you tell us more we can help you more.

If you go to the CAB they have the power to negotiate with these thieves companies a 0% interest so you can pay the bastards company off faster.

I (or we) owe them 2.5k. Its our only debt though. We've been shopping from them for 3-4 years and they put interest up last June (I somehow missed that letter!). I have written to them saying that I am struggling to find a reasonable explanation about how a repulable company could, without explanation, begin charging at loan shark interest rates, which has effectivly transformed a managable credit agreement into a spiralling and unmanagable debt. They have referred my query on to a different department from customer services.

Some one on Martins Money saving site advised transfering money tp a credit card. This may seen very silly to say in the circs, but I have always been suspicious of credit cards and never had one as I always feared falling into a spiralling debt/interest situation. What a numpty!

I will ring CAB too.

Moneysavingexpert is an EXCELLENT website with many good ideas.

If you are worried about falling into spiralling debt, just get the credit card, pay off your debt with it and then cut it up. That's what I plan to do, I've just applied for a 0% for 9 months one because I'm sick of paying 18% interest on my debts. Never mind 44%.

I'll try and work out the math for you here.

£2,500 at 44% = £1,100 interest charged per year = £825 interest charged in 9 months.

Thats £825 that could be in your pocket, not Additions, if you change to a 0% for 9 months card.

If you get really clever/crafty, I think that after your 9 months interest free, you can move to another 0% finance card and cut up the last one. Hopefully though you won't need to do that for long.

Good luck!

There is a loophole with catalogues like this as many customer's don't infact sign a contract as per the consumer credit act. Do chat to the CAB though.