payday loan or not

cazann

Hi can you tell me what would be the best to do, pay my credit card payment 5 days late, or get a payday loan for a week
have never been late before and am looking for a 0% transfer as I owe £3500 @ 24% Have got a definite £300 available next week just want to know what would look the best on my credit file

molerat

Have you got enough to make the minimum payment on time ? That would be the best and probably cheapest option.

cazann

no funds available till next week had some unexpected bills to pay

SuperHan

[strike]^ what he said.

And if you've got £1 over the minimum payment, pay that over too.
[/strike]

Oops - cross posted!

Ring your bank and arrange a temporary overdraft to cover the minimum payment?

onerickylambert

With a £3500 balance, your minimum payment is probably around £70. Pay this first, if you don't have it consider using your (authorised) overdraft or even borrowing from a friend of family member. If you've got another credit card you could also do a cash advance on it, pay the cash into the bank and pay the min on the card with £3500. As soon as you start missing payments 0% offers become difficult.

You could also do a cash withdrawal on your current card and repay with that (if you can't you can always ask to increase the credit limit and then do it).

Whatever you do DON'T get a payday loan, will be more expensive than the card and hurt your credit rating much more.

If you haven't seen it already have a read of this http://www.moneysavingexpert.com/loans/payday-loans

[Deleted User]

cazann wrote: »

no funds available till next week had some unexpected bills to pay

Why didn't you use your credit card to pay the unexpected bills? That's where they can come in really handy. Looks like you haven't really budgeted well, as you should have known you had a credit card bill coming that would require at least a minimum payment.

You obviously knew about the credit card bill if it needs paying within the next week.

Sounds like you've killed your credit, no matter what you decide if you don't find a way to pay at least the minimum on time to the credit provider without resorting to a PDL.

Maybe you could flog some stuff quick on ebay (BIN - immediate payment by paypal required) to get at least the minimum payment required for the credit card account.

Free_queen

Call you credit card company and tell them you cannot pay until such and such a date and if you are not in the habit of paying late they will have to agree. You say "I am calling you to let you know I cannot pay until ..." You do not have to go into great detail other than tell them you had an unexpected bill and cannot make the payment until then. There is little they can do and as most do not update the credit file until end or beginning of a month, it will have little or no effect on your credit file - do not borrow more for just 5 days, it is not necessary.

cazann

Thanks for all your suggestions I have actually closed the credit card in question due to interest rate and reduced debt from £5000
am now deciding between withdrawing cash from other credit card
and paying it straight back next week or phoning the first card to say payment will be a few days late

MallyGirl

better to take the hit on the cash from card fee/interest than have any sort of late payment marker on your file I would have thought

planteria

yes, i agree with MallyGirl....

don't take a payday loan, but do whatever you can to make the minimum card payment. how much is it? if you can, borrow it from a friend and pay them back in full when you are paid next week. if you really can't, then borrow it from your other card & pay the cash advance fee [rather than have a late payment or get involved with a payday lender].

cazann

ok thanks definitely no payday loan