Help with credit card shuffle

girl35

Hi, I am looking for some advice to start me off on my debt free way!!

I have a Barclaycard with £3521 on it at a rate of 16.10% and they have just changed it to a Rate saver card at 7.1% and a Halifax card £3015.55 at 14.9% (rate just been cut from 19.89%!) and an MBNA on £2781 at 15.9%. I have £3500 to pay off either one card or some of each. I have tried recently to get new cards but like an idiot i did it all in one go and messed up my credit score so i can't tart like i wanted too!!!
I pay off the minimum every month by direct debit but all i am paying is the interest and it's not getting me anywhere. I have tried to transfer but the amount is too much for credit limits with each company. What is my best option now - is it to pay the smallest outstanding balance or pay a bit off each? Also should i get a settlement figure or do they not do that?
Any help greatly appreciated as most of this is way over my head!!!!

CLAPTON

use any spare money to pay off the card withthe highest APR.. that way you repay the debt the fastest and with the least interest.

If you are currently paying at least the minimum payments they will not give you a reduced settlement figure.

chun831

IMHO Pay off all of the MBNA card and then pay off as much of the Halifax card as you can. It matters not what you pay off each card if you split your £3500, by paying off the highest rate you pay less interest - just as our learned colleague Clapton alludes to.
Then you can try and transfer (if you can) - as much of the Halifax debt to the 7.1% Barclaycard.
NOTE - check the fees that you will pay for the transfer. Eg if the fee is 3% and the debt will stay on the Barcalycard for a year, you will still save in the long run. If the fee is 3% and the debt is cleared in less than 5 months then your interest you pay is about the same as the fee. The exact sums are complicated but always remember wherever the interest rate is the highest pay it off first.
Goodluck;)