Will it be good to get a credit card to pay for a loan?

dinerodinero

I have got a loan for 9,000 and I would like to pay it ASAP because I am paying APR 8.5.

Sorry I am not very good at this, is it a good idea to get a credit card and pay the loan.

Please any ideas are welcome.

Thank you very much

YorkshireBoy

Months paid already?
How many months to go?
Monthly payment?
What's the early settlement figure?
Debts elsewhere?
Salary?

dinerodinero

YorkshireBoy wrote: »

Months paid already?
How many months to go?
Monthly payment?
What's the early settlement figure?
Debts elsewhere?
Salary?

Hello,
Well I took the Loan in May 2009, for 74 months. the amount of credit is 11,098 and the total amount to pay is 14,254.56. APR 8.4 and every month I pay 197.98.

I rang them on 5th and they told me that if I pay the loan before March, it will cost me 8,786.68. At the moment I have not got the money however I was thinking to get a credit card and do a balance transfer to pay this one. Well that is my idea but i do not know if it will work and I would like to know if anyone has got some ideas, tips, ...


Debts - I am paying a mortgage ( £600 ). My salary is very good and I will have the money to pay about £400 per month.
Thank you very much

Catslovelycats

I think you'll find the rates on a credit card much higher than your 8.4% loan rate

YorkshireBoy

Transferring to a 5.9% LOB card may be around 2% per year cheaper than the loan. However, miss a payment or otherwise breach the T&Cs and they'll hike it to circa 16.9% APR...twice what you're paying now.

Transferring to a 0% card could more than halve your interest rate, but are you confident you'll be able to switch again later? If you can't you'll be paying 16.9% APR again.

Read this article for further information...

http://www.moneysavingexpert.com/loans/plastic-loans (scroll down to "turn a credit card into a loan")

ironlady2022

It would be hard to get a credit card with such a high limit in the first place.