GE Money loan - howto get rid

079anitax

Hi all... Thought i might ask you for advice... Received statement from GE Money yesterday for unsecured loan. Amount is 3800£. We are paying 23% APR (:eek:). In 2 years all we have payed off is 120£ of a debt. I am paying 85£ each monh. Could afford 100£.

Would it be possible to pay it off by 0% Credit card? And if yes, which one would you use? 0% for 15 months on new spend or 0% for 15 months on Balance transfer?

I thought 0% for 15 months, then after 15 months switch to 0% Balance Transfer....

What would u suggest?

I am a bit stupit when it come to money things, just 23% is CRAZY... Made me want to shoot myself yesterday! PLease help.....

Tixy

Only way you could pay it off by card is if you get a card that allows money transfers aka super balance transfers. This puts money in your current account which you then use to pay off a loan or whatever.

Only a few cards allow these - as listed on this page http://www.stoozing.com/sbt.php

Remember if you do get a 0% deal for say 18months then there is no guarantee you will be able to get a second 0% BT deal in the current (or future) climate, so in working out how much you would save as well as the early settlement fee for ending the loan early and the balance transfer fee for the first card, you also need to factor in that you could be left with a balance of £2000 at the standard APR on the credit card.

Just as a tip - the 0% deals are generally only open to people with a near spotless credit file and earning fairly high wages and obviously whether you are accepted for a card and what limit you would get will also be affected by any other existing debts and available credit you have.

079anitax

Would you say a better option would be adding to the mortgage?

My credit rating should be OK. Got M&S credit card with 0% deal for 15 months.

Tixy

I would say adding personal unsecured debt to a secured mortgage is pretty much always a bad idea.

What is your credit history like? If you were able to get a 0% money transfer card such as above you would certainly still save money (even if you couldn't BT anywhere else and were left with it on say a standard APR of 20% after the promo deal you'd still have the debt paid off in around 46months.)

The loan you have at the moment looks like it will run for around 104months.

The other alternative might be to see if you can get a cheaper loan. Did you shop around a lot when you got this loan a couple of year ago? was this the best rate you could get at the time? has anything about your situation/finances changed a lot since then?
What other debts do you have?

079anitax

The only other debt for me is Mortgage. Had Lloyds Credit card, but it is payed off completely...
That GE money loan - took it to fit Safestyle windows... I know it was completely stupid idea, just that guy who came to our house... ofcourse I didn`t shop around at that time.... Now I would have done that, but then... he just was talking and talking and talking and I even didnt had time to think through everything properly... So ended up with new windows (of course it adds to the value of the house etc.) and a debt for 10 years!!!

Financial situation has changed up... we bouth are on a bit higher pay and our kid is out of nursery at last and into school this september....