What would you do...

stredevil

Hi all,

I am new to this forum so please be gentle … I would like some advice from the more knowledgeable people.

I have £19,500 outstanding on an unsecured loan costing me £435.00 a month at 7.9% APR (about four and a half years left to pay), and £5,500 on a credit card costing me about £200.00 a month at 18.9% APR.

What would be my best option to lower my interest payments? Transfer my outstanding credit card balance, with a ‘life-of-balance’ transfer offer, or apply for a low rate loan to pay of my card and maybe loan as well, so I just have the one payment?

Some time ago I did apply for 0% transfer for my credit card but I could only get a credit limit for a £1000, so this is out of the question.

Just like to know what would be for the best.

Thank you

lynzpower

Hello :wave:

I wouldnt be consolidating onto a loan to be honest, for me it would be just dragging out the misery of paying stuff off for way longer...

I think Id go for the 3rd option of posting an SOA, letting us find other savings from cutting back a bit and chucking any spare at your debt to get out of it quicker

Chortle_2

tbh, I'd have taken the 0% deal, even if it was only with a credit limit of £1000 - as thats £1k that you're not paying interest on, even if you still have to on the remainder of your debt!

If you can't get another 0% deal, I'd definitely try to get your CC balance (or at least some of it ) onto a low LOB card, and throw as much as possible at that.

Definitely do as Lynzpower says though, and post an SOA, so that we can help you more

mom23

Hiya
Welcome to MSE
I'm not to good at the advice bit but there are plenty of people who are!!
However "Say no to consolidate"
been there done that twice :eek: look at my sig :mad:

Good luck

isgman

Try not to consolidate your debts as it will just drag the payments out..
but as "chortle" said go for the 0% card..