Shifting a 24K debt in a year?????

Kepp

And how much do you pay off it at the moment?

Ceniza

Woowoo wrote: »

I have a £2900 overdraft with Lloyds, this is included in my total figure and is next on the hit list after the Lloyds CC.

It is a platinum account so costs me an additional £17 every month. I asked about down grading the account but they said the interest rate on my overdraft would go up and would end up costing me more than the £17 account fee. In hindsight I'm not sure I should of just taken them at their word and accepted their calculations....

The platinum account only gives you a £250 interest free OD, the rest is interest applied. She was right that you're better off over the year.

£2,900 x 19.3% AER on current account = £559.70 pa
£2,900 - £250 (interest free part) x 12.3% AER on platinum account £325.95 + £204 (account charge pa)= £529.95

That's how I work it out anyway

beccie wrote: »

I did have 3!

I paid off the two Lloyds ones with the loan as they were both 19% :eek:

The Santander one is 0% until August 2011 so I decided not to pay that one off yet. It reverts to 12.9% after this, which means it would have been one of my last debts to snowball.

I figured that if I could save an extra £5 a day on top of all my other payments so that I just pay this straight away when the 0% runs out I could potentially knock another 2 months off my DFD. It will be a challenge but I'm gonna go for it!

I always included all three in my debt total cause I wanted to be OD free too by the end of this all.

Do you have ODs you don't include?

No I don't. I paid mine off first, it was £2,000 - well OH lent me £2k to clear it

Kepp

Ok so interest free bit as well.

I would calculate slightly differently but mine would be based on how much you pay off as well.

Let me know, I'm dying to work this out now, I am so sad! :rotfl:

Ceniza

Woowoo wrote: »

I have a £2900 overdraft with Lloyds, this is included in my total figure and is next on the hit list after the Lloyds CC.

None is paid at the moment by the sounds of it...

Woowoo

Ceniza wrote: »

The platinum account only gives you a £250 interest free OD, the rest is interest applied. She was right that you're better off over the year.

£2,900 x 19.3% AER on current account = £559.70 pa
£2,900 - £250 (interest free part) x 12.3% AER on platinum account £325.95 + £204 (account charge pa)= £529.95

That's how I work it out anyway

Thanks very much for working that out Adam, stick with what I've got then basically!

Maybe you could explain to the muppets in the call centre how to do it lol!

As soon as the overdraft is cleared I will be closing this account and will never have to deal with Lloyds again.

Woowoo

Ceniza wrote: »

None is paid at the moment by the sounds of it...

Nope, I just transfer the account fee and interest charge at the beginning of the month.

Every spare penny goes to the Lloyds CC at the moment.

Woowoo

beccie wrote: »

And how much do you pay off it at the moment?

Sorry Beccie, should of said at the beginning, I don't pay anything off at the moment.

Ceniza

Woowoo wrote: »

Thanks very much for working that out Adam, stick with what I've got then basically!

Maybe you could explain to the muppets in the call centre how to do it lol!

I'm not saying I'm right LOL - just that's how I'd work it out

Woowoo

Ceniza wrote: »

I'm not saying I'm right LOL - just that's how I'd work it out

I'd trust your judgment over Lloyds any day!

Kepp

I've worked out at the moment you would save £1 a month by cancelling the Premium account!

If you are just servicing the interest at the moment which I worked out at £26 a month plus the £17 fee is £43 a month allowing for £250 being interest free.

Servicing the interest on a normal account at 19% would cost you £42 a month.

When you start paying it back with overpayments once you've cleared the CC I think you would def be best switching to a normal account.

That way the £17 you are paying will contribute to paying off the balance rather than paying to keep £250 at interest free which isn't worth £17 a month.

That's how I've worked it out anyway, I also could be wrong