Should I get loan to pay overdraft and cards

smiler289

Hi, looking for some opinions or advice on whether I should get a loan to clear my overdraft and credit cards.
I have a £5000 overdraft and £10000 on 0% credit cards.
I have a mortgage and a good income every month but am always in my overdraft which ofcourse is costing me money, thankfully the cards aren't. but both are making me unhappy and I never seam to get anywhere to pay the cards off because am in my overdraft.
We are also trying to save for our wedding in 2 years time. I have some savings but they are locked in for 10 years, they are railway disability saving schemes.
I was thinking the best thing to do would be to pay the cards and overdraft off and then be out of debt,apart from the loan ofcourse, and be able to manage the repayments easily over 5 years. This would also allow me to help save for the wedding with any money that is left over after all the bills.
Thanks
J

pjread

how long is the 10k on 0% at 0% for? if you can keep it interest free, that's better than any loan.

What rate is your OD?

DCFC79

Id be looking at what your spending your money on if your always in the overdraft. Keep a spending diary for a week or 2 and see what its being spent on. Get cheaper car insurance, cheaper phone contract etc.

StuC75

Also there is the risk of not been accepted for enough credit in one go to match what you are already exposed to - e.g. You end up clearing the debts to the loan, but then run it all back up again..

How does the stack upto your earnings? too high a % and it may not be a possibility..

instead map out what those are costing you and see what can be tackled first - 1st and foremost being how to live within your means (remove OD reliance)..

until you have the lightbulb moment theres every chance of thos rolling on and on (including how meeting cost of wedding)..

CLAPTON

what is your income

how much are your savings

how much are you saving each month

John1993_2

If you are not living wiithin your means at the moment (and you are not), then how are you going to find the money each mont hto service your loan?

If you think that you can make the necessary adjustments to your spending (and stick to them), then you can start just by doing this, and paying the sppare money off your overdraft.

Please remember that borrowing to pay off a debt does not reduce your debt by even a penny, it actually increases it.