Unsure on what to do !!!

howie94

Hi all

Im looking for some advice please on the following if possible:

I currently have 3 credit cards with the following companies and im deperate on what to do next.

Capital One £1550 balance £700
Aqua £1150 balance £775
Vanquis £3000 balance £ 2800

Do i use all available monies from the Capital One & Aqua card and pay as much of the balance of Vanquis and keep paying not the normal but £50 more(which i do anyway) than lowest payment a month, OR
do i bring the Aqua card or Capital one card down to near zero and hope for a balance increase and the do the above with Vanquis a hole balance transfer?

In hindside im hoping to get a Credit card that all the above balances could be lured onto and have one monthly APR and payment going out but at the moment as ive recently got a car on finance that wouldnt be possible due to salary to credit worthiness.

Your help and kind words are most helpfull, and thanks in advance

grumbler

And the APRs are...?

It makes very little sense to pay the cheapest debts first and then hope for the credit limits increase.
Pay minimum to the lowest APR cards and as much as possible to the highest.

If Vanquis APR is much higher then transfer as much as possible of its balance to cheaper cards first, then concentrate on repaying the remaining balance ASAP.

howie94

Capital One £1550 balance owing £700 -29%APR
Aqua £1150 balance owing £775 -35%APR
Vanquis £3000 balance owing£ 2800 -39%APR

Thanks in advance;)

wacko911

Like gumbler said...
Move as much as you can from vanquis to capital one.
Then move as much as you can from vanquis to aqua.

Pay the minimum on capital one & aqua and as much as you can on vanquis until vanquis is cleared. Then pay the minimum on capital one and as much as you can on aqua until aqua is cleared.

You might have to factor in the cost of the balance transfer fee to see if it's even worth while doing any balance transfers which all depends on how much you are willing/able to pay off each month.

grumbler

Assuming that APRs for balance transfers are the same, it's hardly worth paying ~3% fee for transferring from 39% to 35%.
And it's definitely not worth waiting for Aqua limit increase.

Paying 3% for transferring from 39% to 29% makes sense if you cannot start repaying the transferred balance earlier than in ~4 months (i.e. it will take you more than 4 months to repay the remaining balances at Vanquis and Aqua).

howie94

Capital One £1550 balance owing £700 -29%APR
Aqua £1150 balance owing £775 -35%APR
Vanquis £3000 balance owing£ 2800 -39%APR

Thanks in advance;)

howie94

Hi

Would anyone like too add anything to whats been mentioned ?

Kind Regards

dresdendave

There is not really anything to add the advice already given, pay minimum on cheaper APR cards and throw as much money as possible at the highest.


You could post an SOA on the DFW board and it's likely you will get advice on reducing your outgoings, thus generating extra cash to increase your repayments even more.

SnowTiger

howie94 wrote: »

Would anyone like too add anything to whats been mentioned ?

Throw as much money as you can as soon as you can at the cards.

Got a spare tenner? Put it towards the card with the highest ARP. You don't have to wait for your statement to be produced before you can make a payment. And you can make more than one payment per month.

Also, don't spend on the cards again because you'll pay interest on new spending from the day your make the purchase.

howie94

Hi all

So all monies on both Aqua & Capital One card total roughly of £1200 throw that towards the Vanquis card until the Vanquis is down to £100 maximum and then start paying the Aqua & Capital One cards back as much a month as possible ??

regards

grumbler

howie94 wrote: »

Capital One £1550 balance owing £700 -29%APR
Aqua £1150 balance owing £775 -35%APR
Vanquis £3000 balance owing£ 2800 -39%APR

Thanks in advance;)

howie94 wrote: »

So all monies on both Aqua & Capital One card total roughly of £1200 throw that towards the Vanquis card

If you mean transferring balance from Vanquis to C1 and Aqua, then, as I said, it's hardly worth paying ~3% for transferring from 39% to 35%. Depends on how long the transferred balance remains @35% before you pay it off.

until the Vanquis is down to £100 maximum

Why £100, not £0?

and then start paying the Aqua & Capital One cards back as much a month as possible ??

Aqua as much as possible first.

It's not a rocket science. The highest APR as much as possible until paid off. Minimum to lower APR(s).


MSE article: Credit Card Shuffle