continue credit card or take a loan??

becks73

hi, just after a bit of advice please!
i have a credit card with about £700 on which i'm paying min payment of £15 a month. (going to take me about 7 years to pay off). i also have 2 overdrafts of £150 each which bank are now charging £5 a month on each.
do i continue or is it worth me getting a loan to pay aff all of it. may pay the same amount but not for as long.
i'm a single mum and not working at the mo but hope to find part time work in sept when daughter is full time in school.
thanks for any suggestions.

KingElvis

I would imagine that you'd have trouble getting a loan at good rates anyway.

You could ask you bank?

bengalknights

You will struggle to get a loan being unemployed and if you do get one it will be quite an extortionate amount of interest.

fozmcfc

Your debt isn't that high in the grand scheme of things, but you need to make sure it doesn't get any higher.

I would suggest you look into making sure you are getting all the benefits you are entitled too firstly.

You can't afford the credit card, so close it down, this will prevent any rises in the APR you may miss, but you obviously still need to keep paying towards it.

I would also post a statement of affairs over on the debt free wanabee board, this will give you an idea of incomings and outgoings.

Many on the debt free wanabee boards, will be able to see where you could make savings.

Finally if you have an old mobile and other electronic goods, look to sell on Ebay/local ad and get some more income that way.

becks73

thanks guys,
i appreciate the advice. my credit card is safe with my mum so i dont spend on it anymore! working out my money on paper and i should be ok but it never works like that!