Credit card debt - Any ideas?

Fruball

Thanks YorkshireBoy - I didn't know they did that. So i have just been online and paid an extra £10 on my 3 cards

Good advice, thankyou

CLAPTON

you seem to have 748- 100 - 20 = 628 left each month to over pay your debts
so you can be debt free is just over a year

or maybe no?

MFWannabe

creditcardhelp wrote: »

Sorry Guys!

I knew I left some things out.

Entertainment I would spend probably £50 per night out and I now only head out maybe twice a month so £100 a month there.

I also pay approx £20 per month to use my overdraft facility with the Nationwide - my overdraft is at £1,700 and is currently at £1,500.

Apologies for this as I am new to the site. I can complete a new SOA if required?

Many thanks,

creditcardhelp

After adding entertainment and overdraft charge to your soa then that means you have £620 left over each month. Do you have this left over? If not then try to keep a spending diary to identify where you are spending this money. Do you buy lunch, coffees at work? If so then that can really add up. If you can have this amount left over each month then put £500 of this per month towards paying off the cards; starting with highest apr first then move on to the next. I say £500 so that you still have £120 per month out of this excess for treats, unexpected expenses etc. I would try to put this in a savings account.
Do you have online banking? I have and i have set up different accounts for different things. I keep enough in current account to pay direct debits etc and then move x amount each month; some into savings and some into monthly expenses which is to cover food and eating out or takeaways etc.
If you pay this extra £500 per month off your debts then you should clear them in no time.

Pantera_Fan

Hi,

The best way to pay off credit cards is to 'snowball' the payments. You set an amount per month to pay your debts and then pay only the minimum payments on all but the most expensive card and use any remaining money to pay off the card with the highest interest. Once this is clear you move onto the next most expensive card whilst keeping the payments the same and so on.

Here is a calculator to help work things out

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

I would pay your cards in this order:
Capital One Progress Card – Limit £800 Balance £700 APR 29.9%
Barclaycard Platinum Visa Card – Limit £2600 Balance £2,350 APR 19.9%
Bank of Ireland Rugby Mastercard – Limit £3,000 Balance £2,850 APR 16.9%
Barclaycard Premiership Football Card – Limit £2,450 Balance £2,300 APR 14.9%
Hilton Honors Visa Card – Limit £1,500 Balance £1,450 APR 14.9%

As you go through the process and your debt reduces you can start to look to transfer some onto 0% deals as your credit history improves. Also, if any of the cards increase their interest rate you'll need to consider switching the order of payment.

izools

Pantera_Fan wrote: »

Also, if any of the cards increase their interest rate you'll need to consider switching the order of payment.

Better yet, keep a very close eye on every single statement so that you can "Opt Out" and avoid paying their intended increased interest.

smartbear1

You are not alone Pantera - check out my signature and thread.

You've had loads of replies but just wanted to reinforce the advice of paying off your highest interest debt first and then look to balance transfer to that empty card on a good deal.

I set up standing orders which is good motivation to see a small sum come off a card every week. You can stop them and vary them when you like.

Best of luck with your road to debt freedom! You can do it. Slow and steady wins the race.

talana

Your monthly expenses appear to be next to nothing, so can I ask exactly how you've racked up that debt? Not having a go, just wondering if you have tangible assets at all.

Have to say though your SOA doesn't seem that realistic.

Amount left after debt repayments....... 748.07

If that is the case (or even if 620-odd reading again), then you don't need to mess around looking to consolidate or anything else. Throw it all at the debt and it'll be gone in next to no time, Cap One in the first month!

Are you sure there's not other items you've left off?