career development loans

sailingstudent

Hello everyone,

My problem is (I believe) quite unique, in that I have just turned 19, and am about to start paying a CDL (Career Development Loan) back.

However, I am going to Uni in September and was hoping to pay the balance (£6k plus interest) before starting. (The minimum monthly payments are £140/month, I am trying to pay Between£400-600/month)

At the moment I am working quite a lot of hours, but I will most definatly not be able to pay the total off before september.
I read the article on using the 0% credit card balance transfer on the site, and thought if I payed the loan off by credit card then I could pay as much as possible asap, then while at Uni pay the absolute minimum until Hollidays. No such luck, I cannot pay by credit card.

The only other solution I can think of is to use my student loan to pay off the CDL and then rely on my parents towards the end of my first year at uni.

One other idea was to use the Moneyback loan and ask my dad to take it out on my behalf?

Any thoughts, ideas or solutions would be grately appreciated.
If there is any detail that I've missed off, or not made clear, just let me know.
Thanks for taking the time to read this.

sheffield_lad

Hi, I wonder if I could get some views on the best way to settle my career loan before it begins in late May. I borrowed £7.5k from CIS last year the loan is interest and repayment free for the first year which is up at the end of May. I want to settle this loan before it starts as the APR would be 12.5% over 4yrs. I have a M&S credit card with a balance transfer rate of 3.9% if I got the limit raised is this a crafty way of saving money or is there a good loan rate available. Thanks in advance for any help.

mrcow

M&S is a good option, but the 3.9% is only for balances transferred in the first month AFAIK and I'm not sure if transferring to clear a loan account counts as a balance transfer or a cash advance?

Check it out with M&S first. If you can do it, then it's a good starter option as there are no balance transfer fees and if something better somes up in the future then all well and good. You're not going to get a loan for less than 3.9%.

The only other option to save money is to either apply for a lower rate loan or look at credit card shuffling on 0% balance transfers.

CLAPTON

you need an EGG MONEY CC so you can balance transfer to the M&S card .. basically you make the Egg money card have a positive balance then transfer to your current account and then pay the loan off.

Idiophreak

If you do go down this route, just be sure to be strong with yourself and set up a DD to the CC of what you would've paid to the loan...

I'm terrible for that...I MS'd my car insurance last year by putting it onto 0% CC rather than paying for a monthly DD - and then promptly never paid a thing toward it, so by the time I pay to have it balance transferred etc (0% running out), it'll probably have cost me more than just doing the DD in the first place

sheffield_lad

Thanks for the advice the egg card idea sounds good. I will check out the M&S card first. Cheers Howard.

alanish

i have a barclays career development loan, which i find extortionate.
as i have no credit history i am struggling to get a loan to switch too
any tips would be appreiciated thanks

jonesMUFCforever

Do you have a job, salary etc etc?

You need to give us a lot more info if you are to get constructive help.

How much is the loan for? What interest rate are you paying? Have you got enough 'spare' cash each month to pass a bank's affordability test?

alanish

it currently stands at 2350 not sure what the interest is but i pay eighty qui a month and every third month about 80 to 100 goes on in interest i do know the apr is 13.9%
i make 14000 a year in my job
thanks

jonesMUFCforever

What is your credit rating like?
Is the £80 per month easily affordable?
If you repay early are there any penalties?
Do you have any credit cards?