Urgent opinion required

DrunklMunkee

Excellent! That would be great if that PPI comes in. I have everything crossed for you.

It doesn't matter which card it gets paid against - it all helps to get those minimum payments down - and that's what helps you throw more money at the Virgin CC.

Best of luck with your snowballing. Just keep watching those balances get smaller and smaller.


DMx

DyingToGetOutOfRed

Well, well, well, it turns out to be a fantastic day!!!!:D

After calling the bank to tell them: "NAE" I called BoS CC service and asked them if I could have a balance transfer offer for the outstanding £970 with Virgin they agreed, now I have 0% on them for 9 month with 14.95% there after.

I did a new Snowball calculation and it showed me we will have the CC's paid of 30 months earlier (!!!!!!) :eek: with a saving £4500 in interests :cool:

Happy days

Thank you all again for your help to clear up my mind

Barbeduk

Wow, that's fantastic news! Just shows the difference one phone call can make.

FinancialBlogger

From what I'm getting here it sounds like you would have trouble affording the payment for the loan. Sounds like it might be a stretch.

If you keep snowballing you will end up paying off everything faster and you will have more leeway with your payments if you have a difficult month or two.

However, you have to define what your goal is here. If your goal is to become debt free then you need to cut up the credit cards now and start going cash/debit card only. Then close each account as each one is paid off and never go back.

I know that sounds crazy to some people but if you continue to use the cards while trying to pay them off you may make progress but you're likely to never get the debt completely paid.

Paying off debt is all about having a plan and changing behaviour when it comes to how you use money. I think if you continue snowballing you will do better in the long run because you see progress more easily as you get the smaller debts paid and begin sending extra to the others.

The bank is not concerned about whether the loan is better for your situation, their goal is to get all that debt under their roof so they can make money on interest and fees instead of all the credit card companies you're dealing with. It's just wise business on their part.

I've written a few articles about credit card debt you may be interested in that could be of help:

"7 Huge Credit Card Lies We Tell Ourselves"

"Are Minimum Credit Card Payments Really Affordable?"

"The Miracle (or Curse) of Compound Interest"

You can find them on My Celebrating Financial Freedom blog at cfinancialfreedom.com

DrunklMunkee

Hey there DTGOOR

What absolutely fantastic news! :T:T:T

Well done to you - Like Barbeduk said - all from one phone call. BRILLIANT.

Keep at the snowballing - and those figures will be down even more by the time the 9 months are up. Then you may be able to move another one.

Of course you will have to budget in a BIG glass of wine for a celebration - but I think you deserve it :cool:.

Well Done

DMx

DrunklMunkee

I have just read your post again and just thought - you now have 2 and a half years of your debt-free life back and saving £4.5k - that is so great.

Are you going to rip up the Virgin card? I think Mr Branson has taken enough of your money, don't you?? Get the ceremonial scissors out - and get it snipped

So 4 cards left now - Let's get to work on the next worst card, and when those 9 months are up - you could have enough room on another card for a Balance Transfer.

I wonder how many months/interest that will give back to you??

All the best

DMx

RosaBernicia

Wooo fabulous :j

Glad it's worked out and good motivation for the rest of us to keep plugging away too :T


Rosa xx

DyingToGetOutOfRed

Thank you DM and Rosa, and in fact all the others, you have been a great help.

I am sure we are on the right way now and we will stick to it!

By November we will have paid off our car, this will free up another £270 a month which will allow us to start to pay back £400 a month and still gives us more breathing space.

This looks to become an exciting journey

DyingToGetOutOfRed

woop woop. I just called Vigin and canceled my CC account. That's me down to 4 card

Also had a very generous payday of £588 (I get weekly paid) thanks to overtime I did. This means the bank account is currently on the save side and well away from £2.5k. I have one of these accounts which charge me £1 a day on interest if I am overdrawn up to £2.5k and £2 a day if I am beyond that:eek:. As not being overdrawn isn't an option right now:mad:, I at least try to stay below £2.5k.

Off food shopping now and I will do my best to be frugal .

I never realized how much fun it is to tackle debts!!!! :T:T:T:T

DyingToGetOutOfRed

Money saving continues...

In an attempt to get the general monthly bill down, we managed this week to get the shopping down from £140 to £60 (family of 4). I am hoping we will be able to repeat this next week.

I also called Sky. We only have Phone and broadband with them since we can't receive any sat TV any more. The bill run up every month to just over £30. I thought that was quite steep. They agreed now to fix the price to £15 for 9 months :T:T:T with the option to review this again when the offer expires - I pencilled the date already in my calendar

Let the money saving comence. I want to be debt free in 5 years - MAX! :cool: