HUGE APR help!!

RS12

Hello folks,

Because this spans a few sections of the forum, I will ask it here in the hope that someone can help me with my decision.

I have just noticed that virgin have just started charging me 2.2% on my balance each month, which obviously = an APR north of 25% over the year. So I want to clear that debt and get it somewhere cheaper.

I have £2400 on this card, now the method I have asked about already with the bank has gone through, I have not accepted this loan yet, but the details are as follows.

Current loan settlement £6500 (got two and a half years left to go on it, 11.4% apr)

So I asked them to clear this and add the £2400 to it, making the loan total £9000, the rate they have offered me is a similar one, and means that I pay back £10865 overall (3.5 years).

Now I am trying to figure out if there is a cheaper way to do it as I don't want to have that huge sum to pay back and extend the term.., I have thought about extending my current account overdraft £2400 so it can take it on, but would the interest be higher? (advantage gold current NatWest)?

I don't have the best credit rating, and if I do get approved for cards, I won't get a balance over £100 probably (god knows why Virgin said £3600).

So any ideas folks?

Cheers

RAS

Hi

I recommend that you do a full SOA on here.

And then , when you know how much spare cash you have, look at the snowball on www.whatsthecost.com.

Just to add that consolidating debt is very rarely a good idea and it looks like you hmay have done this already?

dO YOU HAVE ppi OR CHARGES ON ANY OF YOUR ACCOUNTS?

RS12

I have not done it yet.. the loan papers are on the way to me, but I obviously don't have to take it..

I have no ppi or anything like that on my account, the credit card will never be paid off if I carry on making minimum, and tbh I can't afford to do much more than that right now.

The loan £240 pm, plus the credit card £50 is too much. I have had a quote for a new loan that is £258 for 3.5 years.

But I have got a long way with the current loan and don't want to ruin that, and pay he set-ups etc all over again..