Credit Card payments

sile001

Hi, all

At the moment (crossed fingers) I'm coasting along. I live alone so naturally my needs are less than those of a family. However, I do have credit card balance of around £2000. I'm paying the minimum monthly payment plus around £20-30 a month when I'm able to. I use the card to pay for flights to family in Europe. I feel more safeguarded that way.

Am I doing the right thing re. extra payments? I have £250 in an offset account with my mortgager. Would I be better using that to pay off things as it doesn't attract any interest (only reduces my notional mortgage which is less than £3000 anyway).

Tixy

Do you know what APR you are paying on the card?
Is your card balance generally coming down (gradually), or are you putting more flights on to the card than you manage to pay off, so its slowly increasing over the months.

If you are paying interest on the card then its likely to be costing more than having that £250 on the offset mortgage.

What is yoru credit history like? are you employed? Have you considered trying to apply for a 0% card and doing a balance transfer to move the balance to interest free, this would at least mean all your repayments were going towards paying off the debt?

sile001

Tixy wrote: »

Do you know what APR you are paying on the card?
Is your card balance generally coming down (gradually), or are you putting more flights on to the card than you manage to pay off, so its slowly increasing over the months.

If you are paying interest on the card then its likely to be costing more than having that £250 on the offset mortgage.

What is yoru credit history like? are you employed? Have you considered trying to apply for a 0% card and doing a balance transfer to move the balance to interest free, this would at least mean all your repayments were going towards paying off the debt?

Thanks. The balance is reducing, albeit slowly. I am considering switching. I've no credit problems and only use the card twice a year.