Revolving cards - Timeshare

Revolving cards and revolving credits

Specialised bank lawyers

A revolving credit can be defined as a type of credit that can be used until the limit defined is reached. The amount of available credit, the balance and the minimum payment can vary based on the amount of purchases and payments made. These payments are generally paid monthly. As with any credit card, you can make payments even though you don’t have money in the associated account because the payments are deferred.

Typically, these types of credit cards are associated to an interest charge that must be charged regularly until the full payment is made. Another characteristic of this type of cards is that the borrower may repay over time or in full at any time. A feature of this credit card is that the interest will continue to grow over time because of the interest rate agreed, as long as the debit isn’t paid in full.

Reclaim Revolving Cards

Thousands of people have obtained a revolving card but have found themselves with massive amounts of interest that they cannot pay back. It is possible to claim back the interest on revolving credit cards. A revolving credit card tends to charge much higher interest rates than normal credit cards. The ranges of interest can vary between 20 and 30 percent that snowballs into a really high quantity of debt that can make it hard to pay off. The problem is that the type of interest may not be completely clear in the contract or its hidden in the small print.

The Spanish Supreme Court deemed the revolving credit cards excessive. The court ruling (628/2015) stated that borrowers must refund all interest charged to a credit card if they deemed it to be high and disproportionate. In Spain, anything higher than the Equivalent Annual Amount (Tasa Anual Equivalente/ TAE in Spanish) can be considered high. This can give owners of revolving cards grounds to make a claim against the bank to get a refund on their interest rate.

Reclaim Revolving Credits

If the claim of the revolving credit card is successful, the bank must return in full the money received without having to pay the interest. The contract between the bank and the client has to be clear, simply written and has to be transparent in order that the client understands fully the financial and economic consequences. It is possible to claim back the interest paid, but each case must be studied individually because not all courts recognize that these types of contracts can be nullified. The simplest option is to complain to the lender and ask for a refund of the interest you paid. The contracting of a lawyer may be necessary depending on your case.

Specialised lawyers of bank claims will make a comprehensive analysis based on your situation. They will help you cancel this type of credit card by applying to null the contract in court which will stop you from being trapped in an extremely high interest contract that is disproportionate to the value provided by the bank.