Advice please - which to pay off first?

katenut

Hi, I've been hitting my debts hard and finally got down to two cards, with a lot of the balance sitting at low interest rates. I've got the following:

Barclaycard: £1080 at 6.9% for life of balance.
MBNA: £2600 at 0% until December (then 15.9%) plus £870 at 15.9%.

I have the option to transfer up to £2850 to Barclaycard at 6.9% for life of balance (2.9% fee).

Now I've got to this stage, I'm not sure which is the most effective way to go about it! I was planning on throwing extra money at MBNA until December then transferring the remaining balance when the interest free period ended, but the Barclaycard transfer offer has just popped up so should I transfer some of the MBNA to Barclaycard? (this offer seems to come around quite often). I'm paying £250 per month.

Any advice gratefully received!
Kate x

bigadaj

So you can clear the high interest mbna debt in the next few months, which is good.

I might try and apply for a new card to try and get a 0% deal if I were you, singer application won't harm but this depends on your credit rating.

If not possible then get the mbna debt onto the low life balance Barclaycard and keep on paying off.

katenut

Thank you, that was my original plan but I didn't know if a little reshuffle was worth doing at this stage to get the high interest MBNA onto the low life balance Barclaycard, but am I better off just getting it paid off where it is? It'll be gone in a few months, yippee!

Will definitely start planning ahead for somewhere to put the MBNA balance when the offer ends in December.