Help. Credit card debt !

Mrsr1973

My partner has 4 different credit cards with outstanding debts totalling £15000. What I want to know is will he be better to take out a personal loan and repay the cards, or add an additional loan to our mortgage to pay them off !? Can't bear the continual credit card interest and non sympathetic credit card employees. Advice welcome.:(

[Deleted User]

If you can restructure your debt to a lower rate, then yes.

But it all depends on whether you can. You'll need to give details of income, current rates, credit history, etc.

Cycrow

to be able to get a loan to cover the debts, they will most likely need to be earning 60k+, how much do they currently earn ?

are they currently only paying the minimums on the cards, and if so, is there anyway they can start paying more?

depending on the limits and rates of the cards, it might be possible to shuffle the money around abit, and clearing of one card may open up the chance to get a 0% balance transfer deal to help reduce the interest

Mrsr1973

Currently earns 30,000. Been made redundant twice in less than 2 years and finally has a job but on a 20,000 pay cut to previous earnings.

TadleyBaggie

Borrowing another (and before you ask, yes that it what prospective lenders will view it as) £15K would put his total borrowing up to £30K. As this is the same as his income it is highly unlikely to happen.

Mrsr1973

Really ? But I would be borrowing to pay off other debts , thus leaving one debt with all the money in one place. This is sooooo confusing !
:eek

JKSandy

But your partner would still have 4 credit cards with the ability to run up another 15K of debt. At least that is what potential lenders would see.

Does he have any defaults/late payments or CCJ's? Maybe a 0% balance transfer application would be succesfully if he has had no passed negative financial history, doubt it would cover the full 15k of debt but at least it would lower some of the interest.

CLAPTON

Mrsr1973 wrote: »

Really ? But I would be borrowing to pay off other debts , thus leaving one debt with all the money in one place. This is sooooo confusing !
:eek

there is no guarantee you will use the money to pay off the CC debts and so lenders will be cautious.


maybe try for % BT CC cards and try to reduce the overall interest