£2000 CC @ 16.9% & £500 Agreed Overdraft

T4i

Hi all,

Can anyone help me with finding the best deal for my situation.

I've been in debt for a while now, I went past my agreed 1k overdraft earlier this year so my first priority was getting that back under control so I wasn't getting charged £75PCM in HSBC fee's.

I've got my overdraft back down to £550 so well within my agreed overdraft now, so only getting charged £6 PCM HSBC fee's.

I have a credit card with HSBC for £2,000 which has been on 0% APR up until September 2010, so this is my next priority. Unfortuantely I have been refused by every 0% CC deal known to man so i'm stuck with my HSBC 16.9% APR CC.

I've worked out I could manage to pay both the £500 overdraft and £2000 CC off @ £100 PCM which would take me 25months.......but how or where do I go to find such a deal?

Would a debt consolidation offer me less than 16.9APR? Any advice would be greatly appreciated!!

Cheers,
Chris

DarkConvict

Debt consolidation is generally a bad idea, as the loan you take out is inflexible. You can't over or underpay it. Also some loans have variable not fixed rates.

Using snowball calculator maybe the way to go. Put in what you can afford to pay, and put in the amount of debts and APR of them.

http://www.whatsthecost.com/snowball.aspx

If there are no deals, then you simply need to make the payments to pay off the cards.

Do consider a life of balance transfer card, these are usually around 6.9%. http://www.moneysavingexpert.com/cards/ (cut existing debt costs)

in2deep_2

Ive had trouble with a large overdraft and so the bank now reduce it by £50 a month when my wages go in.
Maybe you could ask for it to be reduced by X amount each month that way its a steady payment not a huge hit.