Published on June 7th, 2016 | by FinanceLoophole0
Cant Pay John Lewis Credit Card
Can’t pay John Lewis? – Read on!
The John Lewis Credit Card also known as the John Lewis Partnership Card is a credit card which will earn you John Lewis and Waitrose vouchers when you spend on the card. Every 500 points you earn with the Partnership Card is worth £5 in vouchers. Seems like a great deal but you only get 1 point for every £1 you spend at John Lewis or Waitrose – so to get £5 worth of vouchers you will need to spend £500. If you don’t use the card at John Lewis or Waitrose you will have to spend £1000 to get a £5 voucher. As a way of getting a few freebies when you spend on your credit card this card is not so great.
What happens if I can’t pay my John Lewis credit card bills?
Don’t choose this card if you are looking for that facility on your credit card unless you do a lot of shopping at John Lewis or Waitrose (can also be used for purchasing John Lewis home Insurance or John Lewis life insurance policies). If you do then the benefits are not bad – throw into this the 6 months interest free credit on purchases.
The John Lewis Partnership Card is being offered with a 16.9% APR rate and as an extra incentive for a short introductory offer they are adding a £10 voucher (1000 points). To apply you will need a household income of at least £4000 a year. The card is supplied as a re-branded HSBC Bank product.
What Happens if I can’t pay John Lewis Partnership Credit Card Debts
We all know that feeling when the credit card bill lands on the doormat with a thump and you get that weird feeling in the pit of your stomach. This is especially true if your credit card debt is more than £3000 and you have also got multiple creditors after you for money – it can all become too much very quickly. It’s no fun when you get into credit card debt, we have outlined below what will happen about your debt and ways for you to deal with each issue.
- Contact them – After the bill lands on the doormat and you realise you won’t be able to pay – the most important thing you need to do is contact John Lewis Partnership Card Services and tell them there is a problem. They will consider your situation and respond to you to discuss your debt options. Contact them at Partnership Card Services on 0345 300 3833 (open 24 hours, 7 days a week – all calls cost 10-30p per min on mobile depending on your provider – counts as inclusive minutes on landlines for most providers so probably free) or online message them on the ‘Contact Us’ on the Partnership Card Services. let them know about your financial situation. Tell them how much you earn and how much you spend, and any other debt you may have on other credit cards and/or loans.
- Cancel Direct Debit Payments – If you normally pay by direct debit and you know there will not be enough money in your bank account to pay.
- Interest charges – If you do not pay your bill in full interest will be charged on the full amount on a daily basis from the date of each transaction until full payment is credited to your account. For Cash Advances (this include Balance Transfers) interest will be charged on a daily basis from the date of the Cash Advance. This will continue until the advance including interest is paid in full.
- If you don’t pay and avoid talking to them about your debt, or do not reply to any letters they send to you – they are very likely to transfer you to a debt collection agency. Don’t let it get to this – get help now.
What are the main reasons for people falling into debt with a John Lewis Partnership Card?
In our experience there is no one thing that pushes people over the edge when it comes to getting into credit card debt with John Lewis. Their route into debt will be different to everyone else, and their experience and how they respond to debt will also be personal.
What we can say is that one of the primary factors that lead people into financial difficulties is a change in their personal and financial circumstances.
These changes in circumstance could come about because of life changing events such as –
- loosing a job
- relationship breakup
- moving house
- bereavement etc.
Following a major change in circumstances it can take a while to adjust to a lower spending regime to take into account a debt situation. This is the time it is useful to quickly look for some external help as it can be a nightmare trying to sort out debt – especially if you have debts with multiple debtors.
Falling into debt is easy if you have got unmanageable debt resulting from a change in circumstances allied with a high level of accumulated debt. If you combine this with low savings, income volatility and a high debt to income ratio, it will greatly reduce a persons ability to avoid falling into debt if there are shocks to their income. Any ability people have to avoid debt effectively can also be compounded by individual skills, knowledge, confidence and biases, and through a lack of access to credit.
Of course it is not always a change in circumstances which drops people into debt with their partnership card – it can be simply overspending to support a lifestyle beyond their means. This is a trend we have seen that has increased recently – the lifestyle support debts slowly build up. Moving debt from one card to the other to get 0% interest supports the lifestyle for a while but slowly but something has to give and it all comes crashing down and the debt that remains is far too much to pay off and retain the same lifestyle.
At the end of the day it does not matter how you have got a debt on your John Lewis Credit Card – its just as distressing however it arises.
If your debts are small and you have only one debtor then it may be best to try a free advice service as your situation is likely to be straightforward. There are a few places to get free help with Partnership Car debt, such as you local Citizens Advice Debt Advice or Government funded private organisations such as StepChange and NationalDebtLine. If you’re looking for a professional debt management solutions we can help.
Credit Card Debts with Multiple Debtors
If however you have multiple debtors including your John Lewis credit card, and your debts are more than a few thousand pounds – you will be better off looking to find a reputable debt advice service that will provide you with the best personalised advice to help you get out of debt quickly.
It can be difficult to sort out the good from the bad when it comes to financial debt advice services. We have had good feedback from a debt management company if you click here for help and see if you qualify for their help you will be saving a lot of anguish. They offer a first-rate debt management service. They will look after you well and make sure they act on your behalf to close off your debts as quickly as possible.
How To Pay Your John Lewis Debt
Assuming you can make some payments towards your John Lewis debt there are a number of ways you can pay the debt.
- Paying by Card
You can pay online, by going to the “debit card payment” screen on their site. You can pay with Switch/Maestro, Delta/Visa Debit or Solo Card. Remember It takes 2 working days for payments to reach your partnership account and pay down the debt. This is going to be a temporary fix as presumably you are not able to pay these bills either. It is not recommended to pay off one card debt with another – but it can help for the short-term.
- By Direct Debit
Once this is set up you don’t need to do anything to pay this way – but if you are in debt make sure you switch this service off or your bank will charge you for bouncing payments for direct debit. Contact your bank and remove the direct debit authority.
Post your payment to:
partnership card services, PO Box 6572, Liverpool L71 2WW.
Allow 7 working days for postal payments pay down your debt.
Call your bank to pay directly from your bank account. Provide these details:
John Lewis Sort Code : 40-63-02
Their Account Number : 10000000
Your Credit Card Number : 16 digit number.
How much you want to pay.
The date when you want to make the payment.
This takes 4 working days to reach your partnership card to pay down your John Lewis debts.
- Over the counter
Take a completed Bank Giro credit form to any High Street bank or building society. Some banks charge for this service but it is free at any HSBC branch provided you are an account holder. Allow 7 working days for payment to get into your partnership card.
How To Get Out Of John Lewis Credit Card Debts
- It is essential that you pay off as much as possible (that you can afford) on your John Lewis credit card each and every month. This is important because the more you owe, the more interest will be charged onto your John Lewis account. We all know that is not always possible if you are struggling to cope with your finances but it is best to prioritise debt repayments to prevent long-term problems.
- Many people fall into the trap that they are managing their credit card debt by paying off only the minimum amount every month. Don’t do this – many card issuers including John Lewis want you to do this – this is how they make their money out of you, by charging interest on what you owe them. If you do end up not being able to pay off your full payment each month and just pay off the minimum amount, only a minuscule amount of the debt will be will be taken off the card balance each month – and that only after the interest on your credit card debt has been added. This means that the term of repay for the full amount is extended even further.
- Don’t miss your payments- any missing payments will incur extra charges. These charges will be added to your overall debt.
- As soon as you start getting into repayment problems – STOP USING YOUR CARD – some people recommend destroying your card so you cannot use it and remove the temptation. You should also contact John Lewis and let them know about your situation, they will normally be sympathetic. If you speak to John Lewis debt recovery team don’t agree to any repayment plan they suggest unless you think it is realistic for you to be able to afford the repayments – if you cannot make sure you tell them what you can REALISTICALLY afford.
Please: If you have any questions about your John Lewis credit card debt – fill in the form on the right hand side of this page and one of our team will get back to you as soon as we can.
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