A quick bit of advice needed...

Sparkletoes_2

Hi everyone!

I have an overdraft of £2000 which is costing me about £40 a month. Only just started paying interest on it as it was interest free for the past few years (student account).

I was wondering if I'd be better off to pay it off using a loan or interest free credit card?

LookingAhead

Hi there. I see this is your first post....

http://forums.moneysavingexpert.com/showthread.html?t=107280

Check this out first as it will help you, to help us, to help you if that makes sense!

Eoin_McLove

Get a Capital One Platinum credit card - 0% on balance transfers until September 2007.

CLAPTON

whats the interest rate
how much can you afford to repay a month
how good is your credit limit...can you get 0% or low LOB cc

skintchick

If you can a 0% cc then get one, but to avoid a transfer fee, use it to buy stuff that would normally put you in your overdraft, ie put all your food, fuel etc on it so you can save cash.

BUT only do this up to a level that you can safely pay off within the offer period.

If you can afford £100 a month, say, and it is for eight months, then only stick £800 on the cc, cos I imagine the OD interest is less than the non-promotional cc rate would be.