Question
Minor Credit Problem that can turn into a Major Credit Problem.?
I asked for a credit card line increase from Citi VISA in order to pay for my institutional loan. I, however, did not know that a credit card would ALLOW a person to go OVER the credit card line. For as long as I've had a credit card I've had awesome credit. From December 2008 though, until now I have made payments, some a day or so late but neverthless it was made. In that sense, my credit might not have been "great" but was not "bad" either. The credit card company wants me to make a payment for the amount I went over by June 30th, tomorrow, however, I have only a portion of it paid. After tomorrow the credit card will be shut down until paid. The problem is, on thursday/friday of this week, I will be able to make the full payment. I do not want bad credit at the same time just because of a FEW days. What should I do? I do not want a sky rocketing APR % rate either! and no, i did not ask for a loan on my credit card :) This was an institutional loan from my school.
5 months ago - 1 answers
Best Answer
Chosen by Asker
Generally these days, credit card companies are a bit easier to deal with - they want to appear altruistic and 'helpful' in this bad economy, and with so much unemployment. If you talk to them again you will get help. What I suggest is that you arrange 2 pre-payments - this is where you agree to let the company cash a check for you on a date in the future. So, if you can pay part of your past due on Friday, let them know that today, and allow them to record the payment for Friday. Then set up a day that you can pay the balance on another date next week or the week after. When you agree to pay in advance, the companies are much more willing to work with you. I agree with another poster here - why would you want to transfer a loan to a credit card? Your rate will be much higher, I would not suggest you do this. Think carefully before you do it.
Source(s)
Previous job in collections environment.
by johngreenink
5 months ago
Asker's Rating: 
Other Answers
Call them and ask them to give you an extension till the day you can pay.
by Suba- 5 months ago
Pay the portion you have now and then pay the rest when you get it Friday. You may still end up with a late payment fee. I don't understand why you would put an institutional loan (whatever that is) on your credit card, especially when you don't have suffiicient limit for it. It is probably the best thing that the card be closed till you pay it off. You don't seem to be handling that credit card very well. Not only did you max out the card, but you seem to be pretty careless in making your payments on time -- that will hurt your credit more than anything else. It is likely that late payment history will cause your interest rate to skyrocket. Pay it off. If they allow you to open the account back up (which they may not), only charge what you can afford to pay in full every month. You will build up good payment history and stay out of debt.
by bdancer222- 5 months ago