Assistance requested

fdj100

I have a personla loan of £5000 at 6% flat rate? whatever that means for purchase of a car and £3000 PERSONAL LOAN (14.9%)(ouch)both these just taken out and no paymants paid yet, I have also a virgin credit card which has a balance of 1700, its with virgin on 0% deal for another 5 months.
Iwould like to know would it be worth my while to place all these onto a balance transfer card with 4.9% life of the balance card. And how would I go about putting the 3 onto that card, is it straightforward.
The car loan is taken through Renault UK and the other loan is through Lloyds TSB.

MAny thanks in advance

LongDongDave

fdj100 wrote:

I have a personla loan of £5000 at 6% flat rate? whatever that means for purchase of a car and £3000 PERSONAL LOAN (14.9%)(ouch)both these just taken out and no paymants paid yet, I have also a virgin credit card which has a balance of 1700, its with virgin on 0% deal for another 5 months.
Iwould like to know would it be worth my while to place all these onto a balance transfer card with 4.9% life of the balance card. And how would I go about putting the 3 onto that card, is it straightforward.
The car loan is taken through Renault UK and the other loan is through Lloyds TSB.

MAny thanks in advance

You've got read the small print of your loans already taken out...early redemption penalties. Who is offering 4.9% life of transfer rate? Would it be Capital One? They only give this headline figure, when you come to apply and are approved, the rate can be a lot higher!

fdj100

Thanks but the card is Amex and as far as I am aware there is no penalty for early redemption.

Bokken_2

fdj100 wrote:

Iwould like to know would it be worth my while to place all these onto a balance transfer card with 4.9% life of the balance card. And how would I go about putting the 3 onto that card, is it straightforward.

well ,the short answer is yes.
I am a little puzzled though as you say that you have a personal loan £3000 @14.9%.and you have made no payments on this yet.
To me it looks like you need to do some serious reading up of Martins articles before you start moving the money around,check out the Balance Transfer and Life of Balance articles until you understand it in your mind before any other transactions.
The 14.9% loan ,if you have just taken it out there is normally a "period of grace" normally 30days as part of the credit aggreement that allows you to cancel the aggreement with out incurring any penalties.
Could you hand the money back?
If you do this but you still need the money you could then apply for the money from a 0% card and save hundreds in interest payments.

maforduk

How would you go about the balance transfer of 3 accounts though?
I thought that Balance transfers are for One amount only, Am I mistaken?

Bokken_2

maforduk wrote:

How would you go about the balance transfer of 3 accounts though?
I thought that Balance transfers are for One amount only, Am I mistaken?

Firstly you need a 0% Balance Transfer card with a credit limit that is higher than the three amounts you want to transfer to it.
All of this is explained in Martins BT and Super BT articles.
You also need to understand the allocation of charges and fees to a Balance transfer before commiting to it.
Also how purchases and Balance transfers on the same card can seriously cause you interest and payment problems.
It can be done but you need to be organised and pay the balance off before the 0% ends or transfer the money to another 0% card and continue the process all over again.

Bokken_2

Debt Realised December 2005 £9700:-

Credit Card - £2700 limit and used
Jan 2006 - £2660

Barclays Loan - £5000
Jan 2006 - £4120.17

Wifes loan - £2000
Jan 2006 - £1400 Approx

Barclays Overdraft - £270
Jan 2006 - £416.71

Wife Overdraft - £500
Jan 06 - £540

From the above you only have the one credit card balance the others are loans and overdrafts.
Not all credit cards allow the Balance Transfer of funds to a loan company or to a bank account.
Alliance & Leicester and also MINT do.You would have to use their credit card cheques to make these payments the balance would then appear on your credit card account.
There is also a fee for using the cheques unless it is within the 0% period.(Double check this).

grumbler

fdj100 wrote:

I have a personla loan of £5000 at 6% flat rate? whatever that means

This means APR about twice as much, i.e. about 12% APR ... See APR vs Flat Rate Calculations

And how would I go about putting the 3 onto that card, is it straightforward.

This is very strightforward to transfer a balance from a CC and far more complicated for loans. See:
What is a Super Balance Transfer?
REVENGE! Make Free Cash from Credit Cards

I don't think, however, that Amex will give you £10K limit on the card with low LOB rate.

maforduk

Bokken wrote:

Debt Realised December 2005 £9700:-

Credit Card - £2700 limit and used
Jan 2006 - £2660

Barclays Loan - £5000
Jan 2006 - £4120.17

Wifes loan - £2000
Jan 2006 - £1400 Approx

Barclays Overdraft - £270
Jan 2006 - £416.71

Wife Overdraft - £500
Jan 06 - £540

From the above you only have the one credit card balance the others are loans and overdrafts.
Not all credit cards allow the Balance Transfer of funds to a loan company or to a bank account.
Alliance & Leicester and also MINT do.You would have to use their credit card cheques to make these payments the balance would then appear on your credit card account.
There is also a fee for using the cheques unless it is within the 0% period.(Double check this).

My question was to the Thread Starter, not for myself! ha ha ha
Thanks anyway friend.

Bokken_2

maforduk wrote:

My question was to the Thread Starter, not for myself! ha ha ha
Thanks anyway friend.

Very sorry must have got confused when I dropped my beetroot sandwich,talk about unwanted advice,