what do i do here..Help me make a decision

JulieGeorgiana

quintwins wrote: »

i use my card for day to day living (i have no debt btw) but in order to build up my credit rating, as a rule i never spend more than i have in the bank, also it's helpful with budgetting as it's all in one place, creditcards can be good things if used properly, if not there a timebomb

I do this too! Spend on the CC what you can afford and pay it off in full earning reward points (£25 of vouchers worth £75-£100 in deals a Quarter... Thank you MrT!) And while I am waiting for the statement I have the money for it in a savings account earning interest! So my minimal groceries and petrol which I have budgeted for is earning me money!!! I've done this since 2004 and never paid a penny of interest but made £100's if not £1000's!!! I have had a weekend in London with Free Hotel, Sightseeing and meals! I've had Christmas Gifts! Things for the house! Legoland each year for FREE!!!

BR I did this with my CC even though wasn't debt free until 2010, you should only do it if you are VERY disaplined though

Hadahardyear I really don't think you are listening to the advice given by the people on this website who have much bigger debts then your own. By paying off the cards with lower interest you are wasting your own money and prolonging your debts. You really should focus on the account with the highest intested... you are throwing away £10 a month in extra interest charges! That's your money and now the bank will have it instead!

quintwins

JulieGeorgiana wrote: »

I do this too! Spend on the CC what you can afford and pay it off in full earning reward points (£25 of vouchers worth £75-£100 in deals a Quarter... Thank you MrT!) And while I am waiting for the statement I have the money for it in a savings account earning interest! So my minimal groceries and petrol which I have budgeted for is earning me money!!! I've done this since 2004 and never paid a penny of interest but made £100's if not £1000's!!! I have had a weekend in London with Free Hotel, Sightseeing and meals! I've had Christmas Gifts! Things for the house! Legoland each year for FREE!!!

i applied for a mrt's card and was turned down i know it's just cause i'm not on the electorol (mental not send the form back cause there was a mistake) we have capital one credit builder one, both our credit rating are good/very good but we firgured if we're buying a house anything that lowers the percentage even just a point or 2 will help

Hadahardyear I really don't think you are listening to the advice given by the people on this website who have much bigger debts then your own. By paying off the cards with lower interest you are wasting your own money and prolonging your debts. You really should focus on the account with the highest intested... you are throwing away £10 a month in extra interest charges! That's your money and now the bank will have it instead!

i could understand this if he was paying them in full for the sense of achivement but he's only paid one, tbh i think the op had decided what to do before he posted even tho but pushing to pay his vanquis card he could be £40 better off a month

op it's all well and good trying to build up your credit rating but you've been spending more than you have, pushing your cards to there limits and then losing money in interest, just be careful you don't end up back here in 6 months time

JulieGeorgiana

Quintwins I just got DH to get a MrS card (which I only use at MrS) for double points on MrS purchases. Maybe once you are on the electoral role you can apply for them. Because you might as well get cashback/rewards for using your CC, and it still builds up your credit profile.

I'm a SAHM and I have a perfect credit score... can't get credit because I have no income (bah humbug!)

Unfortunatly i agree with you Ref. the OP... but Vanquis will be laughing all the way to the bank!

Hadahardyear Just to add: don't wait until the end of the month to throw the last of your money at your cards (even if you don't take the other advice offered)... interest is worked out daily... so the sooner the £400 you have left is on a card... the sooner you stop paying more interest!!!

camuk81

Very rough figures for you. And I am making a lot of assumption

Balance £983.00, minimum payment around the £35.00 mark. This month your interest will be £33.79. Meaning you only pay back £1.21 of your debt

Now throw the £400.00 at it. Keep the payment of £35.00 and interest is down to £20.00 for next month and also you only owe after next month payment 56.68% on your credit card. Even if you only did this you would pay your credit card off in Jan 2014. Where as if you keep paying £35.00 It will take you 8 years to pay back the debt.

Thats a scary thought!

Catslovelycats

OP throw all your spare money on the card with the highest interest rate, whenever and as soon as you have anything spare to throw at it.