Consolidate debt

supermatt1988

Hi, at the minute I have finance on my car and a credit card bill which I bought my fianc!s engagement ring on. As of next year I start a new job where I'll be getting payed monthly rather than weekly. At the minute I manage ok paying these two bills because I'm payed weekly but I'm wondering whether anyone has any advice on consolidating the debt to make it one payment a month? At the current rate both will be paid off in about 18 months. Also, I'm saving for a deposit for a house, if I ended up with a lower repayment on these two debts a month I'd potentially be able to save more? Thank you in advance for your help!

DCFC79

Whats the car finance and the cc bill amount too ?

supermatt1988

Just short of 4k, the majority of that is the car finance.

19lottie82

supermatt1988 wrote: »

I'm saving for a deposit for a house, if I ended up with a lower repayment on these two debts a month I'd potentially be able to save more?

unless the rate of interest you are paying is less than your savings would earn in the bank, there really is no point saving while you have these debts. pay your debts off first asap THEN start saving.

redpete

supermatt1988 wrote: »

Also, I'm saving for a deposit for a house, if I ended up with a lower repayment on these two debts a month I'd potentially be able to save more?

I think it would be better to clear the debt from getting engaged before thinking about buying a house.

Highly unlikely that your interest rate would be lower than you earn on savings, so little advantage here.

If you didn't save for a month or two would that give you enough to cover the loan payments for a month? If so then you would have caught up on any lag due to monthly rather than weekly pay and you wouldn't need to consolidate.

somethingcorporate

What do you think making 2 payments into 1 will do?

I am continuously baffled by people wanting to make "one simple payment" when it's only the rate and term that really matter.