Any arrangement for reduced payments etc is recorded on your credit file, but its better to sort out the problem in hand rather than worry about the effect it will have.

Eco

I suppose if you keep up the repayments, eventually your score will improve and you would be able to get a new credit card with a better rate. A mate of mine tried to negotiate with Barclaycard and they wouldn't have it. I suppose they take the view that a deal's a deal - and whilst your paying up they are happy to take make profit out of you.

Are you sure your credit score is so bad? You don't say how many repayments you missed, only that it affected two cards. Most people miss a payment from time-to-time and it's not fatal. I missed two on one account. (A dormant account got fraudulently used. I was overseas - didn't see the statements until I got back. Got the money, fees, and interest back, but I had "missed" two payments. I was told that "no negative entries had been made against my credit file". Well, about 18 months when I got the Experian printout I'd noticed that of course these late payments were noted. But in the meantime I'd successfully applied for two new cards.

A friend of mine used to work for a debt counselling place. When people came in with problems they'd write to the credit card provider and usually got interest frozen on the basis the agency was helping them with their debts. I don't know if it gets recorded on your record (as maxsteam says). Afterall, its not a IVA or something "official". Anyway, if you think you are stuck with 26.9% on Barclaycard, it's got to be a good idea. In time, credit ratings self repair. I would just try this route if nobody else comes up with any other idea.

yes i am aware that I have to make payments on time, unfortunately I was unable to this and made a late payment to two cards - this was due to circumstances beyond my control. I do make payments on time. I can afford to make these minimum payments however as I am unable to obtain cheaper credit at the moment, I cant see me ever being able to clear this card off due to the interest level. I do not want to obtain credit to this degree or "have my cake and eat it" as maxsteam put it, I am thinking of the future and do not this to come back and haunt me, I am 21 and want to be able to get a mortgage once I am out of this hole - not to run up huge credit card bills, beleive me I have learnt my lesson and living with the choices I made. Is there any other options available? I read on another forum that barclaycard are able to reduce the rate, does anyone had any experience of this?

If you want a good credit record you need to make payments on time and pay what you owe. If you simlly can't afford to do that, you can take various options, including phoning up the credit card company and asking to see if they are willing to cancel the card, freeze the interest and take payments of £x per month off the balance. If you do take any option other than paying what is owed it will, of course, be recorded on your credit file but if getting credit has caused these problems for you, surely not being able to get credit will be a plus? You can't have your cake and eat it though.

Due to being very irresponsible with money I have ran up a large amount of debt. Between 3 credit cards, 2 Store cards and a loan. I have made a few late payments over the last months, due to losing my second job but generally I pay on time. After making a few cut backs, I can afford to meet all minimum payments, however I am keen to reduce my debt and get it cleared. My main concern is my barclaycard with a balance of £5000 and an annual purchase rate of 26.9% after paying the minium payment I am only paying of aroung £12 of debt. I cant afford to pay much more each month, and due to my credit rating I will not get a balance transfer with 0% interest. I have a barclaycard since around 2003/04 and have noticed since then the apr has increased a good bit. Is there anything I can do to lower the interest? If I ask them to freeze the interest will they consider this? How do I go about it, and will this effect my credit rating? I have considered a trust deed (scotland) and debt management plan however i am reluctant to enter in to a formal arrangement as i am concered about what effect this may have on future credit.

Any advice would be appreciated. Many Thanks