Best options for me...??

sduxxy

Hi,

I'm currently paying off my car which i bought on finance with black horse. I have about £5500 left to pay over 3 year, but the interest is now at 14%. Im looking at a way to move this to a lower interest somehow but dont know what is the best way to go about it? Do i look at another loan, credit cards or even this super balance transfer thing i found on here? and one more question, to pay this off by credit card is classed as a payment now a balance transfer right?

Sorry i'm just a young confused girl, so if anyone can help me it would be much appreciated!

LeeSouthEast

What's your credit rating like? If it's reasonable to excellent, then another loan would definitely be cheaper! Make sure there are no early repayment penalties with your current lender though...

Tixy

You need to dig out the paperwork for the original credit agreement and as Lee says check out early redemption penalties or similar info.

If you have been running your bank account reasonably well your bank may offer you a loan at a cheaper rate or you could look to someone like Sainsburys or Tescos, you may get a loan around 8-9%.

Whilst a 0% credit card seems like a good idea there are 2 issues - you probably won't be able to clear £5.5k in the 15months (or so) that the card is 0%, then it will revert to 20% or more - so higher than you are paying now. Also I expect it is unlikely you would get a 0% card with a big enough limit to transfer the whole balance. If you did use a credit card you would need a super transfer card, which means you can transfer the money from the CC to your bank and then from your bank to the loan.