Is it worth...

MrsTUS

... extending the term of my personal loan - 15.9%apr and due to end in June 2013 so that I can free up some cash each month to throw at my higher apr credit cards to get them cleared IF I can establish whether or not I can make overpayments on my loan on an as and when basis?

What's the general conscensus?

RAS

stuff the details of both options into the snowball at www.whatsthecost.com

MrsTUS

RAS wrote: »

stuff the details of both options into the snowball at www.whatsthecost.com

Hiya, I think my husband has already done our household joint serviceable debts via that - and it's throwing out debt free in 2015, though looking to be 2014 all in all.

He's already completed a very detailed SOA last year too and we've managed to save lots of £££s per month thanks to all you guys..

I was just looking into things a little deeper to see if there was any way to get things paid of a bit quicker, but alas, I have just spoken to the loan finance company and they have said I'm unable to refinance due to my employment status (a lady of leisure/ pt student while I bring up our 3 kids, until the youngest is in full time education).. So, I guess that answers my question haha..

Tixy

As another possible plan -
How high are your APRs? do you know you can opt out of any future increases they try to hit you with?
Is there a big difference between the rates you are paying on your cards? are you still able to spend on them? are any of the cards not at their limits? if yes, yes and yes then might you be able to slow stooze debt from a more expensive card to a cheaper one?

MrsTUS

Tixy wrote: »

As another possible plan -
How high are your APRs? do you know you can opt out of any future increases they try to hit you with?
Is there a big difference between the rates you are paying on your cards? are you still able to spend on them? are any of the cards not at their limits? if yes, yes and yes then might you be able to slow stooze debt from a more expensive card to a cheaper one?

I have one card at 19.9% (my bank credit card) which had a £1000 limit but when they wrote to me to tell me my APR was going up to 24.9% I closed the account and I'm continuing to pay it off at the old rate..

I have a Debenhams credit card - which is at it's limit and a 22.9%apr and I have an Asda credit card with a £500 limit, balance of £470 @ 24.9%apr..

It's a shame I can't refinance my loan - I'm not looking to borrow any extra, just entends the repayment of the current balance over a say an extra year (it has 2 years left on it) to lower the repayments so I can throw a bit extra at the other CCs.. it's bizarre really that they somehow can't make exceptions for that sort of thing - we don't struggle with any of the repayments and we are currently paying minimum off all our unsecured debt except the highest APR which we throw all the extra at to clear it more quickly so we can snowball..

I just feel at a loss as to how to make more money.. we budget everything, everything is the cheapest and we account for every solitary penny we spend.. we sell on eBay, everything and anything... my husband does overtime when it's available etc. Unfortunately due to my husbands job and his working hours, a regular part time job for myself is not an option - or I would do that in a heartbeat, although I am starting an Open Uni course in October so I can work towards a degree while I'm at home for the next 4 years, so when I do return to the workplace, I can actually embark on a career...

There is of course light at the end of the tunnel, but I guess I'm looking for some instant gratification with regards to clearing one or two of our smaller debts, so we can say we have actually repaid and closed something and we can start the snowballing for real.. I personally can't wait to see it gather momentum...

Ah well, back to the drawing board!!

RAS

So concentrate on paying off that ASDA card ASAP and if the Debenhams card reduces below the limit at any time, consider transferring a little of the Asda debt to it - even a tenner will make a difference over time.

MrsTUS

RAS wrote: »

So concentrate on paying off that ASDA card ASAP and if the Debenhams card reduces below the limit at any time, consider transferring a little of the Asda debt to it - even a tenner will make a difference over time.

Thanks, I never thought of doing that.. for some reason when I considered balance transferring, I thought it had to be all or nothing, or at least a larger amount.

The only problem I can perhaps envisage, is that they are both Santander, which I believe has a rule that you can't balance transfer between cards from the same bank?

RAS

No need to balance transfer.

As long as you can spend on a card, just make a payment using the cheaper card, and pay exactly the same amount immediately toward the more expensive debt. Voila - you have just move the debt to a cheaper card.

Require discipline but worth it over time.