Money transfer plan

Stevefromdonny

I've got about £8000 on a loan at 11% with 3yrs left to repay. I've made a single overpayment of £1000 about 6 months ago which knocked 4-5 months off leaving the current 3 years.

We want to move house sooner rather than later and can't afford a bigger mortgage with this debt so want to repay early. To speed up the process i was thinking of using a 0% money transfer card to lower the total amount repaid.

I know i wont get an 8000 limit on a card but even if i get half that and max it out I'd still save a lot of money, repaying the loan first while paying minimum on the card, then repaying the card.

Is there any way to know what limit I'll be given prior to actually recieving the card? I don't want to do it if I'm not going to get a decent limit, and i need to preserve my credit score as well, that's another factor. Will having an additional credit card on my file harm my rating?

I need this debt out of my life!

DCFC79

I dont believe there is a way to find out what the limit would be, yes preserve your credit score as lenders really see that.

jonesMUFCforever

Can you afford the minimum payment and the full loan repayment?#
What happens if you can't repay the card off before the promotional offer ends?

Herzlos

Some will let you request a limit but you probably won't know the actual number until you've been accepted. I'm not sure what the impact will be on your credit rating if you get a card and then cancel it.

11% is pretty high though - have you looked at refinancing it with your bank? Loan rates are pretty cheap these days (I think I dropped from about 7% -4% recently).

Failing that, you're best throwing as much money at it as you can; obviously you're paying more interest earlier on so you'll save more early. Even overpaying by £50/100 a month will knock months off it at the other end.