My credit card debt situation...

Rochdale_Guy · 18 October 2003 at 9:39PM

INSERT BY MARTIN - Nov 2004

Welcome to an epic. Below is the first post of Rochdale_Guy. Over the next eight pages you'll see his story unfold, the people who helped, how hard he worked and the final result..... debt free. Much of the success is due to taking on his debts, both in terms of pushing the interest rates down - so every penny of his repayment helped and also personal dedication. Do read on. Inspiring stuff.

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Hello all, to those of you who have read my posts in the "0% Barclaycard offer hunt" thread, you'll know a bit about me by now, for those who don't, I'm starting this thread and welcome all advice thrown at me. I was a bit naughty by keeping posting in that thread when really, I should've started this one a while ago. Apologies to the people posting in the "0%" one having to wade through my cries of despair and pleas for help.

Right then, my original post was as follows: (if you've already read it, please scroll down to the 2nd post of mine for an immediate update!) :

...here is what I currently owe and on which cards.

Starting with the highest APR cards first (note, I don't have the exact APR's so have put a rough estimate). All are VISA cards, not that that matters really

CAPITAL ONE £45 owed, £5 min.monthly payment @ +14% APR
TESCO £185 owed, £5 min. monthly payment @ +14% APR
BARCLAYCARD GOLD £645 owed, £13 min. monthly payment @ 6.9% fixed until paid off
NATWEST £815 owed, £18 min. monthly payment @ 5.9% APR fixed until paid off
AMERICAN EXPRESS BLUE £1,000 owed, £32 min. monthly payment @ 4.9% APR fixed until paid off

I do NOT spend on the above cards. All are for Balance Transfer purposes only.

I also have an ALLIANCE & LEICESTER Visa card with a ZERO balance and credit limit of £3,400 ... plus an MBNA Visa card, also with a ZERO balance and a credit limit of £4,300.

Both the above 2 have APR's of +13% APR, but I don't owe anything on them luckily

Finally, today I had a letter from A&L offering me a reduced APR fo just 3.9% if I make a balance transfer from another card to the A&L one (with a ZERO balance remember !). This lasts until 24th March 2004.

Many, many thanks.
Rochdale Guy (Mr.T)

Andrea · 18 October 2003 at 9:44PM

Hiya

If you're worried about it you can always copy your posts onto this thread then remove the ones on the Great BC hunt thread.

Andrea

Rochdale_Guy · 18 October 2003 at 9:48PM

The update

After taking up the Alliance & Leicester 3.9% APR offer March 2004, my revised debts are (in highest APR charge order):

BARCLAYCARD GOLD
£648 owed @ 6.9% APR until paid off. (Standard 17.9%)
NATWEST
£800 owed @ 5.9% APR until paid off.
AMEX BLUE
£1,000 owed @ 4.9% APR until paid off.
ALLIANCE & LEICESTER
£225 owed @ 3.9% until March 2004.
MBNA
Zero owed. £4,300 credit limit.
CAPITAL ONE
Zero now owed. APR is 15.6% if balance present.
TESCO
Zero now owed. APR is 14.9 % if balance present.

Seems like I'm doing okay, but well miffed over the lack of help from MBNA. See my post in that thread elsewhere for details

Thankyou for the advice so far, good luck to everyone else (especially those seeking a Barclaycard 0% offer form) and please please please, post your advice for me here.

Thanks again :-*

RochdaleGuy

Rochdale_Guy · 18 October 2003 at 9:50PM

Thanks Andrea, I may just do that. :-* :P :-*

Andrea · 18 October 2003 at 10:02PM

Hi again

I'm probably teaching grandmother to suck eggs here so if you've already done this tell me to shut up ;D

Are you at the limit on the Amex Blue and if not is there a fee to transfer more balance over?

Andrea

System · 18 October 2003 at 10:08PM

I might be jumping the gun here (if so, apologies) but if you do have any available credit on your Amex card, could you not transfer at least some of the other balances (or parts of them) over to Amex while they still have the 4.9% for life rate?

Actually, I do think I'm getting a bit confused as (my fault), Im not sure what the question actually is. Sorry! :-X

Rochdale_Guy · 18 October 2003 at 10:09PM

I'd never tell you to shut up, spank maybe, but verbal ? Nah !!!! :-*

Oops, sorry- that was a little naughty !

The AMEX 4.9% for life offer was for balances transferred in the first 6 months of opening an account / getting the card. Alas, that time has now since gone and if I wanted to say transfer the Barclaycard balance to this, then I guess

a) There would be a fee, and
b) It certainly wouldn't be as good as anything like 4.9% I reckon... don't forget the BC is @ 6.9% until paid off - so I don't think even the top dogs on this forum would be able to get my interest rates any lower...

But there lies a challenge for any takers, please !

Rochdale_Guy · 18 October 2003 at 10:12PM

Crossed posts going on here methinks...

Thanks MoneyTerrorist for the reply.

Keep them coming please

Rochdale_Guy · 18 October 2003 at 10:22PM

My AMEX limit is £1,600 by the way. So could do with transferring say £500 off the BC to this, but it's only jumping from 6.9% down to 4.9% - is this really worth it ? (Assuming they bend a little and let me have the transfer also at 4.9% that is !)

johnllew · 19 October 2003 at 2:27PM

You only have £2673 of debt and that should be easily manageable. There are loads of 0% offers out there so you can do a lot better than what you're now paying. Have a look at this article which may help: http://www.rpoints.com/bb/viewtopic.php?t=57496&ruid=2005

I'd cancel the cards you no longer need, but keep the MBNA because they often make good follow-on offers (I've had a few at 0 or 1.9%). The £4.3k limit you have with MBNA could be useful in persuading new card issuers to increase the limit they have given you, if less.

System · 19 October 2003 at 2:45PM

Yep, I agree with all Johnllew said. Im finding it a lot better to use a card for what its needed for (ie, 0%) then once you have gotten the best out of it, cancel it - because then in a few months, you can reapply and get the same deal as before (assuming they still have the same deal)

One question though - and I may have missed it (in which case you can smack me, but not too hard) - what kind of Amex card do you have?

Im sure there are probably different rules for the different Amex products, but I have an Amex/BA premium plus card (I think thats what its called - its the black one), and on that card the 4.9% deal is ongoing, ie not just for new customers. I transferred 4,900 onto it yesterday and I've had my card since 2001. The lady I spoke to at Amex confirmed 4.9% to me. The only problem, it would seem, is that it can take Amex up to 30 days to physically do the transfer.

My credit card debt situation...

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