How do I write a letter to a credit card company to freeze interest?
Written by Ryan Benbow at PayPlan. Grantham on 31 January 2013
Ask Payplan…How do I write a letter to a credit card company to freeze interest?
Having interest and charges frozen on your credit cards can make a huge difference to the length of your repayment period. For many people a solution like an Individual Voluntary Arrangement or a Debt Management Plan will provide a solution to their financial problems. However for an increasing number of people, who have very little disposable income, such plans are unsustainable.
If you find yourself in a situation where your income no longer covers all of your usual outgoings and creditor repayments, you can negotiate with your credit card company and ask them to freeze interest charges. In order to do this you will need to write a letter to each of your credit card providers. The letter should contain the following:
- Your full name, address and account numbers so they can correctly identify you.
- A brief outline of your current
situation – for example, if you have been made redundant, say so!
- A repayment offer backed up with a copy of your financial statement to illustrate the amount you can reasonably afford.
If you contact Payplan and your assessment shows that you cannot do either a DMP or an IVA we will send you a Self Help Pack. This contains all you need to set up your own arrangement with creditors until your circumstances improve. A Self Help Pack provides a template letter that you can reproduce and send to your credit cards providers requesting they freeze interest, a budget planner, ways to increase your income, ways to cut down your expenditure and a guide to preparing your own financial statement.
Please note – while we do try to negotiate with your creditors for them to freeze all interest and charges, we cannot guarantee that we will be successful. Nor can we guarantee that your creditors will freeze interest and charges should you attempt this on your own.Source: www.payplan.com