New borrowing and existing debt

poorandhardworking

Afternoon All,

I need to borrow 2800 to add to my 5000 savings in order to have new double glazing done in our new house (It has to be done this is not an option)

I was considering the Sainsbury's 7.8% APR, no fee Credit Card for this as it would be cheaper than a loan.

Is this the best solution based on current outstanding debt, is is there a better option to help reduce and manage things overall?

Overdraft - 2000
Credit Card - 3000 (currently on 0% till January, was planning to switch to a 0% balance transfer near the time)
Barclay Card - 0 (old card no used with no 0% etc, should I cancel this?)

I understand my current situation and I am working towards reducing this debt with budget plans etc, I just need advice on how to progress with this new need for borrowing.

Your thoughts appreciated. Many Thanks.

arbroath_lass

Check with Barclaycard first - the may be able to offer you something.

-sie-

Barclay Card are not bothered and have nothing to offer me and state they cannot reduce the APR since this is an automatic set amount...

theoretica

Does the window company accept credit cards?

-sie-

Sorry for the delay in replying, we were orgainsing and having 80% of the windows done with savings.

Now we are at the situation we need about 2500 to finish the work.

We have a builder friend doing the work rather than a national company but they means he cannot accept CC payments.

quantic

Unless I'm missing something, use the 5k to pay back the 5k debt you currently have (CC and OD), once debt is settled - apply for a loan for the full amount.

Even if you do not end up buying the windows I don't really see the point in having 5k savings while 5k in debt, its just pretend savings IMO.

-sie-

Thanks for your reply.

The 'savings' have gone on the windows etc we have had done.

So I guess the choice to make is get a loan for 2500 or 7500.

I see the 7500 as taking out more to cover a smaller debt thou (loan will have interest and card hasn't), but I guess it depends how much you can afford...

I think I might get the loan for the amount we need for the windows, swap the CC to a 0% card and make a extra effort to pay off as much as possible to the CC each month.

Anyone see any draw backs?