I have just over £8000 in the bank and ...

Pollycat

Martin usually recommends that if you have debt but also have spare cash, you should pay off your debts rather than save - because the cost of debt is usually much higher than the profit from saving.
You'll probably be paying more interest on debt than you'd get back in interest on £8K.
Unless of course, the debt is on 0% interest.

Re the Halifax loan - you may have to pay a penalty for paying it off - you need to check that out before you pay it off.

Chuck the catalogues away!

Good luck.

KeaneFan10

Just an update ...paid off overdrafts loan and argos card and provendent ...i have £1700 left ...feel so much better for it oh and £300 better off a month !

TUS

Get as much of the catalogues paid off as possible ... they'll have high interest.

Pollycat

KeaneFan10 wrote: »

Just an update ...paid off overdrafts loan and argos card and provendent ...i have £1700 left ...feel so much better for it oh and £300 better off a month !

That's good to hear.

And if you paid off the catalogues, you'd have an extra £100 per month on top of the £300.

Do think about using this extra monthly cash wisely, even though it might sound boring.

anonymoose_3

Well done on paying off the other things, if I was in your situation I would clear the catalogues too. I would rather be totally debt free than have £1700 in the bank or a holiday. Not having to pay those things monthly it won't take long to save anyway

Pollycat

anonymoose is right.
You could have £1600 back in the bank in 4 months.

Just work out how much interest you'll be paying if you keep the debt on the catalogues.
Then calculate how much interest you'll earn on the £1700.

KeaneFan10

Pollycat wrote: »

That's good to hear.

And if you paid off the catalogues, you'd have an extra £100 per month on top of the £300.

Do think about using this extra monthly cash wisely, even though it might sound boring.

I am learning to drive so too lose my sons Disability Living Allowance wouldn't have been possible because of paying out what we were each month, my son has autism so lately we have been trapped in the home because of how tough sometimes it can be taking Thomas out ...so i am happy that learning to drive will change our lives for the better and we can do more as a family