Get a loan or credit card delema

pixiecat

Hi

Can someone please give me some advice I have 2 credit cards one I owe £3000 at 12.9% the other £2000 on 0% till december then 16.9% I also have 2 loans one for the car which is finished in 12 months so dont really want to touch that and the other was supposed to help above situation but never (bad girl me) and is about £3000 for another 3 yrs aprox,
I have a good credit score but not sure if I should go for a loan to put both cards i.e tesco at 8.9% for 5 yrs or try for a credit card like mnba fixed rate at 6.9% but if I dont get a good credit balance when I apply then I havent got myself out of the problem
So I just need a nudge in the right direction for which is the better of the two to try for without upsetting my credit score.
Many thanks
Lorraine

DarkConvict

Loans are generally a bad idea as a means to consolidate, as they are fixed agreements with fixed payments. Under payments cause trouble, and overpayments give little or no benefit.

I would therefore concentrate on bringing down the APRs of the credit cards. Virgin/MBNA do have a 0% super balance transfer card if you do want to move the loans but if you worry it will confuse you more, then leave them be. Use the cards just to move other cards to a lower APR.

Instead concentrate on either the 0% credit cards, or life of balance cards which keep the interest low, like under 7%. The lower the interest, the more you can repay each month as you are been charged less. http://www.moneysavingexpert.com/cards/ (Cut existing debt costs)