Some basic advice required.

ubdai

I just need some basic advice on if its worth doing the following.
I have 4 cc with various amounts on them
cc1 £4470 at 20% APR
cc2 £1776 at 6% APR
cc3 £7915 at 6.95% APR
cc4 £1577 at 4.9% APR

Is it worth me trying for a loan if possible (£12000) at around 7.5% APR and pay off the majority of the cash on the cards or just keep paying what I pay now on the cards (£218 across the cards). If I could shift cc1 amount to a lifetime balance then I would as its the only one with a really high APR. This seems the only decent thing to do at the moment because most of the cards have a low APR.

What do you suggest?

Thanks
ubdai

Venusflytrap

From what I understand about how lenders consider applications for more credit, you need to analyse some of the ffg:

Your balance to credit limit ratio
Your debt to income ratio - I don't think there is a set percentage but I would think that anything above 60% might be worrisome to a lender.
How much of your current debt are you paying off per month? The minimum or more?
How much disposable income do you have?
How many credit applications have you made in the last 6 months/year?

I'm sure other posters would have additional pointers for you to consider.

dresdendave

With nearly £16k of credit card debt you might struggle to get another £12k, unless you have a high salary (£50k+), after all a potential lender can't be certain you would use it to pay off existing debt.

Also would it make sense to borrow at c7.5% (if you can get it) to pay off the three cards that have APR's of less than that?

Either keep up minimum payments on the low APR cards and chuck every bit of cash you can spare at the 20% card or if you want to go down the loan route, try to borrow just enough to clear the 20% card.

SCO

ubdai wrote: »

I just need some basic advice on if its worth doing the following.
I have 4 cc with various amounts on them
cc1 £4470 at 20% APR
cc2 £1776 at 6% APR
cc3 £7915 at 6.95% APR
cc4 £1577 at 4.9% APR

Is it worth me trying for a loan if possible (£12000) at around 7.5% APR and pay off the majority of the cash on the cards or just keep paying what I pay now on the cards (£218 across the cards). If I could shift cc1 amount to a lifetime balance then I would as its the only one with a really high APR. This seems the only decent thing to do at the moment because most of the cards have a low APR.

What do you suggest?

Thanks
ubdai

Phone CC 2-4 and ask them to raise your credit limits so you can hopefully BT cc1 between them.

Fruit_and_Nut_Case

SCO wrote: »

Phone CC 2-4 and ask them to raise your credit limits so you can hopefully BT cc1 between them.

But I wouldn't hold your breath.