Repayment to Interest Only

Noobie2011

andys15 wrote: »

You can only balance transfer up to a certain percentage of the limit. Usually 90-95%. Plus you usually get charged a fee to balance transfer. Plus you need to have the offer of a balance transfer on your card, well for 0% you do. In your case, with everything maxed out, then it is not an option.

I understand the above and you are correct as I don't have balance transfer etc. However I was more thinking of withdrawing the money and then paying it into the one credit card. The £120 I mentioned is not the full available so for instance I have an available of say £25 on one card so I withdraw £20 cash, pay that onto the CC I am reducing and leave the £5 on there to cover the withdrawal fee. This would leave this card fully spent as it s every month anyway but now the available has been used to reduce the high Interest Vanquis card. So along with the other withdrawals I have worked out I would have £120 to put into the Vanquis card in the 1st month.

I know the downside is the extra little charges fr withdrawing from CC's but the upside is my Vanquis card is gone within 2 months and can add the monthly savings to loading onto another CC

Noobie2011

andys15 wrote: »

Yes I would use the money from 118 to pay the vanquis, but you are going to find that soon 118 will be about £45 a month higher because they will still the money back with interest. I cannot see you getting out of this situation without increasing your income significantly, losing the car and mobile phones etc etc. As you say you cannot do this, you need to stop the interest on the credit cards, as it will cripple you. Each month you are getting in more debt. The 118 solution is getting you in more debt. I wish you luck, but you need help.

I do agree and yes I have a possible job promotion coming up for me and my partner in the next 3 months but that is not guaranteed so not putting that into the equation.

I am looking at reducing the car and mobiles but as I have already checked, the car cannot go back until 50% paid off so even though on my savings list that is way down the line. Same with mobiles which is run the contracts out which is way down the line or pay off to get out of contract which is not an option.

The 118 things will eventually go up but not for the next few months which gives me a chance to use that money to good use and along with the CC available I could possibly have closed at least 3 CC and saved my self between 80-100 a month but also have reduced my CC by 3 and got rid of the interest.

andys15

Sorry but that's not a good idea. Use the 118 money to pay of vanquis this month. Plus the £45 you usually pay. Then the new statement will come and you will be charged less interest. Use the 118 money the month after and it should be cleared then with the £45, or very little left. Don't withdraw cash on your credit card.

andys15

What phones do you have where it's costing £50 s month each? I have an iPhone 6 and that is £38 with 5gb, unlimited texts. How long into the contract are you? B

safestored4

Your water rates of £40 per month seem quite high for the two of you. Are you on a meter? If not I suspect that you could make savings by moving to this, we certainly did.

libf

The interest rate on withdrawing cash on a credit card is horrific. Don't do it.

WellKnownSid

Noobie2011 wrote: »

So along with the other withdrawals I have worked out I would have £120 to put into the Vanquis card in the 1st month.

You're getting dangerously into 'robbing Peter to pay Paul' territory...

Lungboy

Council tax also seems quite high, are you paying it over 10 or 12 months?

Noobie2011

WellKnownSid wrote: »

You're getting dangerously into 'robbing Peter to pay Paul' territory...

That is true however my payment to Peter each month is worked out on the balance being max'd and the low interest rate where as Paul's Interest rate is high and the more I pay to him makes more of an impact to the Interest and monthly payments.

It is not ideal and will probably just look at using the 118 money to get rid of the vanquis within 2 months and go from there

Noobie2011

Lungboy wrote: »

Council tax also seems quite high, are you paying it over 10 or 12 months?

This is due to them not sorting our council tax out when moved into our new house so about 4/5 months payments got spread over the new year.