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Can i afford to overpay?

skaps
skaps Posts: 2,255 Forumite
edited 16 January 2010 at 1:27AM in Mortgage-free wannabe
Hi i started my current mortgage in October 2008 which was for £250,000 and currently do not overpay. My mortgage per month is £1700 which does not leave me with much and i have 2 credit cards which i am trying to pay off. Add to that i am getting married in the summer and need to pay £5500 by the end of May, i don't see how i can afford to overpay. I am trying to pay off a bit from the credit cards and also save at the same time. My Virgin CC has a rate of 1.9% till June 2010 and the Halifax CC has three rates
£5940 at 5.94% lifetime
£1200 at 22%
£2650 at 0% till june/july 2010.
Which CC should i pay off first as the Halifax CC pays off the O% money off first? HELP!!!!
MFW 2016 No 68 £1300/£8500 No new toiletries Cook sth different

Can i afford to overpay? 35 votes

Yes
54%
JazzkingjoebmcmolitphizzimumIHateDidagolfiemattwendy69HawkofeaglesjaywhoopeeutopiahhillcatsDJ_Mikemickra7851moneysavermum_2aaronb74HappyLottievonManstein43mummyofonechildHarveyGal 19 votes
No
45%
bagpuss1965suey2CazzdeviluzubairuJonbvntegai1Josepinaclearmydebtspigtails_21wantabetterlifeCrushedKitten72pawlalasomeday_soonDisgruntledGoatskapsJames_3_2_2 16 votes
«13

Comments

  • Boozer
    Boozer Posts: 340 Forumite
    I think people need to know how much you earn, without that i dont see how we can know if you can afford it or not.
  • staffie1
    staffie1 Posts: 1,967 Forumite
    Part of the Furniture 1,000 Posts Photogenic
    A SOA would also be very useful. As boozer suggests, we only have half the picture at the moment.
    If you will the end, you must will the means.
  • Jonbvn
    Jonbvn Posts: 5,562 Forumite
    Part of the Furniture 1,000 Posts
    No
    Always pay-off your highest interest debt first. Therefore, I would go at the £2800 at 0% (no option on this) followed by the £1200 at 22%. That has an equivalent rate of 6.6%.

    1200x22/(1200+2800) = 6.6%

    What is your mortgage interest rate?
    In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot:cool:
  • snowball1972
    snowball1972 Posts: 54 Forumite
    £1780 per month!, get a smaller house.
  • weezl74
    weezl74 Posts: 8,701 Forumite
    Hi skaps all the best with your challenges!

    I think paying off the 22% interest CC with your     1973 savings mentioned in your sig has to be the place to start asap!

    Just my twopennorth!:D

    :hello:Jonathan 'Fergie' Fergus William, born 05/03/09, 7lb 4.4oz:hello:
    :)Benjamin 'Kezzie' Kester Jacob, born 18/03/10, 7lb 5oz:)
    cash neutral gifts 2011, value of purchased gifts/actual paid/amount earnt to cover it £67/£3.60/£0
    january grocery challenge, feed 4 of us for £40
  • skaps
    skaps Posts: 2,255 Forumite
    No
    Have just received an offer for a CC which has a BT of 0% for 15 months. Should i use this?
    MFW 2016 No 68 £1300/£8500 No new toiletries Cook sth different
  • weezl74
    weezl74 Posts: 8,701 Forumite
    skaps wrote: »
    Have just received an offer for a CC which has a BT of 0% for 15 months. Should i use this?

    what's the fee for transfer?

    What debts will you transfer onto it?     x

    :hello:Jonathan 'Fergie' Fergus William, born 05/03/09, 7lb 4.4oz:hello:
    :)Benjamin 'Kezzie' Kester Jacob, born 18/03/10, 7lb 5oz:)
    cash neutral gifts 2011, value of purchased gifts/actual paid/amount earnt to cover it £67/£3.60/£0
    january grocery challenge, feed 4 of us for £40
  • skaps
    skaps Posts: 2,255 Forumite
    No
    weezl74 wrote: »
    what's the fee for transfer?

    What debts will you transfer onto it? x

    3% was wondering whether i should BT my other CCs onto this?:confused:
    MFW 2016 No 68 £1300/£8500 No new toiletries Cook sth different
  • DisgruntledGoat
    DisgruntledGoat Posts: 105 Forumite
    No
    If you have 22% APR card debt and a wedding to pay for then I can't see how you can overpay in the short term?
  • weezl74
    weezl74 Posts: 8,701 Forumite
    skaps wrote: »
    What would i do then about the £5000 i have to pay in May for the wedding? I don't really want to put in on a card as thats how i ended up in this situation in the first place?


    but aren't there better rates than the 22%? it's costing you £22 a month just to have that one debt. You can't be earning that in savings interest....

    :hello:Jonathan 'Fergie' Fergus William, born 05/03/09, 7lb 4.4oz:hello:
    :)Benjamin 'Kezzie' Kester Jacob, born 18/03/10, 7lb 5oz:)
    cash neutral gifts 2011, value of purchased gifts/actual paid/amount earnt to cover it £67/£3.60/£0
    january grocery challenge, feed 4 of us for £40
This discussion has been closed.
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