advice about hsbc flexiloan

gizfizz

Hi everyone I'm a newbie trying sort out mine and my partners finances (oh joy!) i wanted a bit of advice about my hsbc flexiloan, its £3500 and i never seem to be actually paying it back-always taking the money back out again tut tut! so i was thinking about getting a 'normal' loan out to pay it back. I'm only 20 (21 in august) and its only £3500 so is it worth doing this or not as ive noticed interest rates are higher for low amounts and also my age is probably a problem. i would appreciate anyones advice, should i leave as is and try to be stricter with not taking the money back out, wait til august when ill be 21, add some other stuff in to make the loan up to 5000 to get a better rate or what?? lol i have an o/d of £250 on my account, £350 on joint account and £2000 on my partners account so could pay off these with it. the repayment is currently £140 a month + £11.73 for dreaded ppi (ive looked and it says i have to cancel the loan if i want to cancel the ppi) thank you in advance!!

chevalier

With the best will in the world. If you do consolidate all of your debts onto a new loan, will be able to be strict enought with your spending to not get into more debt? Both of you?

Surely it would be better to look at your income and expenditure and pay of the debt you have. Consolidation isn't debt repayment, it is moving debt around.

Have a look at https://www.whatsthecost.co.uk and plug your current figures into the snowball calculator. See how much interest you will pay this way. Then put in the potential loan and see how much interest you will pay that way. Might help you come to a decision.
chev

southwester_2

Hi Ive got a flexiloan with HSBC as well and before I fronted up to the OH was dipping into all the time to pay off other things, which was of course just increasing my debt, they seem a good idea at the time but too easy to dip into.

I am intending to pay it back as quickly as poss , now at £1896 and increased payments up to £125 instead of £80, saving as well to get it down.

Pay it off as quickly as you can and get rid is my advice