0% credit card help

fuzzgun19

Thanks Clapton. So on a £2000 balance it would be about £33 per month in interest.

As it looks like I could pay off with a credit card, does anyone think it's worth applying for a 0% card (a bit nearer to July)? How many applications would be acceptable.. 2?
This option would be my preferred choice, but not sure DH would get one.

Or would I be better off trying for a balance transfer to a credit card... would the interest be lower than the 20% APR on the car loan?

iAMaLONDONER

CLAPTON wrote: »

the rate of interest will still be 20% APR; however the more you pay off the less the actual interest charged

e.g. if you owe 4,000 at 20% the monthly interest would be
4,000 x 20%/12 = £66.67 per month

if you paid off say 1000 then the monthly interest would drop to
3,000 x 20% /12 = £50 per month

so it's worthwhile paying early

But despite the cluase in the agreement- they can pay off the debt right now if they had the cash,right?

fuzzgun19

Would it be advisable to try to get one of these 'credit building' cards.. or would that affect anything if we then tried for a 0% card?

Or just wait a bit and try for a 0%?

pjread

I suppose another point is anything under 20% is better than you've got now... So worst case you may still be better off just using almost anything you can get (other than a vanquis/cap onen type card!).

fuzzgun19

I've just thought of another question.

Just looking at the agreement, the car finance is in my name (but strangely it shows my DH's work details - I'm not working).

If we got a credit card to pay this with, would we be able to use a card in DH name to pay the car finance which is in my name?

grumbler

I don't see any problem as long as the card holder authorises the transaction.
Also, your DH - main cardholder - can add you as a second cardholder and you'll have a card on your name.

fuzzgun19

grumbler wrote: »

I don't see any problem as long as the card holder authorises the transaction.
Also, your DH - main cardholder - can add you as a second cardholder and you'll have a card on your name.

Thanks grumbler. Would he have to add me at the point of applying.. and if so would this affect his chances of getting the card?

grumbler

Either when applying or later.
No, as only the main cardholder gets scored.