Overdraft repayment HELP

Winsto

Hello everybody,

I have a little trouble with my Lloyds overdraft that has a limit of £2,400 and I desperetly want to close it due upcoming job and area change.
I dont have anything that you can call credit or a flat Renting it all the time.
Do you think for me will be a good option to apply for a CC or just to get a loan to close this. I kind of scared to do so if there is a big possibility that my application can be declined as i never done anything like that before.

Many thanks

Tixy

Is the overdraft the only credit account that appears on your credit files?

What APR are you paying on your overdraft? or what charges each month?

Only a few credit cards allow you to transfer money into your current account and so pay off your overdraft. These will incur a balance transfer fee, so its usually only worth doing for people who are able to obtain a 0% promotional rate.
Given that you have never had a credit card and have a very limited credit history its fairly unlikely you will be able to obtain such a card with a sufficent credit limit.

You could consider speaking to your bank to see if they will convert the overdraft into a loan and find out what the APR would be, whether it would be more or less than the overdraft is costing you.
But have you worked out how much you can afford to repay off this debt each month? you need to ensure that you would be able to afford the monthly loan repayments if you do this, as in the short term you'll actually have a larger outgoing than keeping it on the overdraft.

No way really for anyone to know whether you'll be declined if you apply for a loan - but even if you are, being declined for 1 application isn't a big issue.

Winsto

Hi Tixy,

Many thanks for your quick replay.
Its not really a overdraft charges that I am worried, It's a feeling that I am in **it and in case of rainy day a have nothing left to back me up however I do have a full time job.

The reason why I am that deep now is I misbehaved on online poker )) And I m feeling really bad now

So thats why I think that bank will most probobly say now to a loan because they can see money transfer on the statments.
Or i m wrong ???

Many thanks