Cahoot Flexible Loan Rate

m3ckon

Hi,

after 7 years of being irresponsible, I'm trying to pay off my debts!

I have reduced the total amount from around 25k to 17K over the past 2 years. I'm now left with a loan and credit card, plus a CCJ which has been paid and should come off my record next year (it's been there for 5 years)

My Cahoot Flexible Loan has been moved to Santander and is at 10300 of 11000. I'm paying a fixed amount every month and am about to increase this from 280 to 400 due to paying off another card. I enquired about lowering the interest rate, but got nowhere.

Does anyone know if I can get anywhere or have any templates to use?

I'd like to do this for my CC too, but again not sure the best approach.

Thanks,

M3ckon

Tixy

Generally companies won't just agree to reduce your interest rates, especially as you have a CCJ.

What apr are you paying at cahoot?
Usually it might be worth shopping around to see if you can get a better deal elsewhere but with a CCJ that seems unlikely, and as cahoot will know this there is no incentive for them to reduce your rate.

Once the CCJ has been removed you could try applying for a cheaper credit card to move some of your card debt across, perhaps a low life of balance card but probably not much else you can do.
If your credit card company warn they are going to increase your credit rate you can opt out of that increase within 30days and stary at your current rate.

If the card APR is higher than the loan then you would be better off paying the extra funds each month to the card rather than the loan.

m3ckon

Thank you!

that was pretty much as I thought on the rate.. oh well, will just have to reduce it as much as possible until then. Thanks for the tip on the CC, I will check that and put the extra money on the one with the highest rate. I was going for the larger amount, but what you've said makes more sense.

With the CCJ, will it definatley clear? I've been checking up on the Experian site and can't see why it wouldn't -

Information type: Judgment Date: 29/06/2005 Court: MANCHESTER COUNTY COURT Case number: 5JJxxxxxx Amount: £6,986 Information Source: Registry Trust Ltd Note: If you have paid a judgment you should contact the court and make sure they are informed. You may wish to request a Certificate of Satisfaction as proof of the change. We will be told that the judgment is satisfied and we will update our records. For further information please see the Report Guide.

Tixy

Yep, it will go from your report after June 2011 (if its not settled then they could still go back to court to reactivate the CCJ and extend how long they can chase you for it).

Might be worth looking at the snowball calculator on www.whatsthecost.com to see how much difference it will make to your debts paying off the largest APR first, and to see how soon you might be debt free.

m3ckon

Thank you!!

I've just checked and the CC is at 29.9% APR and the loan at 20%

Seems like paying off the CC first is the way to go.. thank you though, I had no idea it was this bad.