Fill in the [brackets]
Subject: Hardship application - credit card ending [last 4 digits]
Dear [Bank / Provider] Hardship Team, I am applying for hardship assistance on my credit card ending [last 4 digits]. My income has dropped because I was made redundant on [date]. My current weekly income is $[amount]. After essential costs of $[amount], I can afford to pay $[amount] a [week/fortnight/month]. Please can you: 1. Reduce my minimum payment to $[amount] for [X] months. 2. Freeze or reduce interest and stop late-payment or over-limit fees for that time. 3. Not reduce my credit limit in a way that triggers fees. 4. Confirm the arrangement in writing, including how it will be reported to credit reporting agencies. I have attached my [income and expenses / redundancy letter]. I will keep making the agreed payments and tell you immediately if my situation changes. Please acknowledge this application in writing. Kind regards, [Your name] [Date of birth / customer number]
Tips
- Do not stop paying without talking to the lender. Contact them as soon as you see trouble coming.
- Pay the arranged amount reliably, even if small. That protects you more than missed payments.
- Avoid shifting card debt to a high-cost lender or payday loan. Get free advice from MoneyTalks (0800 345 123) first.
- Check the interest on cash advances, buy-now-pay-later and loan sharks. High-cost lenders also have hardship obligations.
- Keep a record of every call (date, name, reference number).
General information, not legal advice. Keep a copy of everything you send. Spotted something out of date? Email help@unemployed.nz.