need to borrow - whats the best way

csxxx

I have just recieved planning permission in relation to an extension at my house.
I am looking at about £18000 costs to have the work done.
I have had a little idea that I might try to put a lot of this on an interest free credit card (all of it ideally but the credit limit probably wont cover it) and pay about £500 a month off for the interest free period (12mths?).

I would be interested on hearing peoples thoughts on this...

1. Do you think it is a sound idea?
2. Is it worths the trouble or should I just add it on my mortgage over a short period (5 yrs if poss)
3. Do you know of any better ways of doing this?

Any advice would be greatly appreciated... I have considered short term loan / mortgage / credit cards etc and don't know which way to jump.
I currently have both Egg and MBNA cards, (both with nothing on them at present) and a lloyds advantage 12mths interest free (on bt's only).

Regards,

Chris.

jonesMUFCforever

If you can get a card to offer you the full limit and you are confident that you will be able to repay before end of interest free period then I would say go for it.
However unless you are mega rich I think most cards tend to have a limit of £15k or less and you may find it difficult to get it increased.
Do you have any savings that you could use between the maximum credit offered and the amount you need to complete extension?
It may be worthwile to ask you mortgage provider for quotes for what you require but bear in mind there are usually charges and arrangements fees for doing this.
Also IMO it is a good idea to have a contingency fund in place as builders estimates/quotes never seem to tally at the end.
Eric

Doc_Fire

Hi I'm really sorry to butt in on your thread but I havn't worked out how to post/ask a question yet so the best I can do is reply to a post and hope someone will be kind enough to answer. I am looking to make a purchase of a bike and I need 4k to make up the difference so I am trying to find out the best way to do it without incurring loads of interest. Are there credit card companies that will give me that amount at 0% for 12 months? What do I do if I cant repay the whole amount by the end of the 12 month period? I have a good credit rating /history.
Thankyou!

deemy2004

Hey Doc

Click here -