Persistent debt is credit card debt that has been getting worse for 18 months or longer. When this happens, you’ll pay more in interest and card fees each month than you’re paying off, so the debt keeps getting bigger.
How to get out of persistent debt
Increase your payments
Pay more each month if you can. We’ll send you a letter at 18 and 27 months to tell you how much more to pay. It’s best to set up a new monthly Direct Debit, but you can make one-off payments via the app, Internet Banking, by phone, or by cheque.
Ask us for help
If you can’t pay more, please ask for help. We’ll work with you to see if we can make your payments more affordable.
0345 835 7453
9am-6pm Mon-Fri, 9am-1am Sat
What do our letters to you mean?
We’ll write to you at several points if we think that you’re persistently in debt.
18 and 27 months
We write letters to you at 18 months and 27 months. This is to alert you about going into persistent debt and to let you know how much you should increase your payments by to get out of it.
36 months
We’ll send another letter at 36 months. This is to offer you 3 options to help you pay off your balance, one of which you must select. If you don’t choose an option, we default to option 3.
If you are able to pay off your debt in 4 years or less, and to make sure your account cannot fall into persistent debt again, we will make the following changes to your Terms and Conditions:
- We will increase your minimum payment amount so that you can repay your persistent debt balance over four years
- We will also make changes so that future spend cannot fall into persistent debt
- If your current interest rate for cash withdrawals is different from the interest rate that applies to purchases, we will decrease your cash withdrawal rate so that it is the same as your purchase rate
See your letter for the changes to your terms and conditions and, If you are happy to accept these changes, please complete the form below.
We use Adobe Sign for this kind of request. Adobe will pass the information you provide to us in a secure manner and won’t process it in any other way. Information on how we use your data can be found in our Data Privacy Notice.
Screen reader users are advised to use an alternative channel
You can also visit us in branch or call us on 0345 835 7453.
Lines open 9am to 6pm Monday to Friday. 9am to 1pm Saturday.
If you would like us to make the changes in Option 1, but are concerned that you will be unable to afford the higher minimum monthly payment please call us on 0345 835 7453, selecting option 1, then option 2. We will discuss the help we can give you to make your monthly payments affordable.
If you don’t want the changes in option 1, you can close your account. You’ll no longer be able to use your card and will need to pay off your balance at the current interest rate(s) applying to your account. However, this is likely to mean you’ll pay it off less quickly and pay more interest overall, so we would encourage you to consider this carefully.
To close your account call us on 0345 835 3846.
Lines open 8am to 8pm.
How much will my credit card cost me?
For example, if you owe £3,000 on a credit card with an interest rate of 24%
Minimum payment
Starting at £85 a month and reducing over time.
It'll take you 28 years and 4 months to pay it off and cost you £5,215 in interest.
Total cost £8,215
- Most expensive option
Fixed payment
At £85 a month.
It'll take you 4 years and 9 months to pay it off and cost you £1,824 in interest.
Total cost £4,824
- You’ll save £3,391
Increased payment
At £100 a month.
It'll take you 3 years and 8 months to pay it off and cost you £1,365 in interest.
Total cost £4,365
- You’ll save £3,850
See how changing your payments could help
Check your latest statement for your balance and interest rates
Where else can you get help?
If you dont want to talk to us just yet, there are organisations that offer free impartial advice to help you manage your debts.
StepChange
Many people in the UK don’t claim the benefits and tax credits they could. Use this checker to see what you’re entitled to.
Citizens Advice
Want free, impartial advice on dealing with your debt? Citizens Advice can help you make plans and start deal with your debt.
National Debtline
National Debtline is an independent debt advice charity. If you’re struggling with debt, they can help.
