credit cards to loan

my_money64

HI
I need some advise here, I currently owe £11,000 on 4 cards shall I turn them into a 5 year loan or stick with them and pay off as much as I can off them?

Hazzinho

Unless you earn around £40k+ you'll struggle to get a loan with that much debt, you will be asking a lender top up your debt to £22k. I would try and pay off the card with the highest interest asap, if it's manageable debt you may as well get it down a bit and then get a decent interest rate card via balance transfer at a later date. An £11k loan sounds a bad idea to me.

Fruit_and_Nut_Case

my_money64 wrote: »

HI
I need some advise here, I currently owe £11,000 on 4 cards shall I turn them into a 5 year loan or stick with them and pay off as much as I can off them?

Hazzinho wrote: »

Unless you earn around £40k+ you'll struggle to get a loan with that much debt, you will be asking a lender top up your debt to £22k. I would try and pay off the card with the highest interest asap, if it's manageable debt you may as well get it down a bit and then get a decent interest rate card via balance transfer at a later date. An £11k loan sounds a bad idea to me.

Got to agree with Hazzinho. You know that you want to consolidate but there's no guarantee to the loan company that you won't go and spend the further £11000 on wild living and end up owing £22000 in total.

Paul_the_Painter

If you've got any "headroom" on any of the cards, that is available credit, it could be worthwhile to see if any of the cards would offer a balance transfer at a decent rate. That way you could shift some of the more expensive debt onto a better rate.

But generally speaking, my advice is - DON'T GET THE LOAN.

I did get the loan, even got a better job, only really faced up to it a year ago, at which point my loan, plus what I owed on the credit card was £3,000 more than when I took out the loan.

Now down to £3,500 under the loan amount took out in 2009.

Tixy

As others have said a loan might well not be possible. But perhaps you can juggle the debt around to reduce the interest you are paying. What are the balances, APRs and limits on each card?
Have you worked out how much you can afford a month in total in repayments?

my_money64

Thanks everyone.