Money transfer card or loan?

cerealbral

Some background - I'm retired, living off savings, no pension but mortgage free homeowner. Some time ago a good friend got into serious financial difficulties. I decided I had to do the decent thing and have been lending him what I could for the past two years. This has now used up all my savings and very soon I will be needing a loan myself, possibly for just 6 months or so but can't be sure.

From what I have read on MSE a money transfer credit card should be better than a loan. Ideally I would also transfer my £2.5k cc debt to a 0% balance transfer & purchase card, though the mt card is the priority. I haven't done a soft search on these yet, worried about the no income bit although apparently n/a for some cards so might be eligible.

This situation is new to me and all too real, so a few questions please -
Am I on the right track or up the proverbial creek without a paddle?
Would a money transfer credit card be my best bet or a straight loan?
What is the likely credit limit on a money transfer card?
Should I also apply for a balance transfer & purchase card at the same time?
I understand that 2 applications could affect my credit score but might be worth it, especially if the mt credit is enough to last 6 months?

Thanks

Nebulous2

What would be your long-term plans to repay it? Do you have a pension coming through soon with a lump-sum payment for instance?
Are you ever likely to get your money back from your friend?

I think its unlikely anyone will lend you money without an income. Money transfer and balance transfer cards are what's known as prime cards. That means they are selective about who they lend to. People on here without a solid credit history seem to have trouble getting them even with good incomes.

Failing any imminent windfalls I think your choices are quite stark, I'm afraid. Either go back to work or sell your house would appear to be your main options.

cerealbral

I am expecting my friend to be in a position to repay the loan in the coming months. He seems focused on what needs to be done and his plan makes sense so I'm cautiously optimistic. I have no doubt at all that he intends to pay me back.

I'll do the soft search.

cerealbral

The soft search shows 0% for all money transfer cards. Clearly naive to think they would lend without an income, even the ones where it is supposed to be n/a. A bit of a reality check but you live and learn.

Next step I suppose is to apply online for a loan from my bank. The blurb suggests it's virtually guaranteed but somehow I doubt it.

Ben8282

If I take your post at face value it makes me feel like calling social services to discuss the exploitation of a vulnerable individual.
You say you are retired, living off of savings and have no income (not even a state pension?).
You say that your savings are now all used up and you have 2.5K existing credit card debt, presumably as result of lending money to this friend.
As for this friend that you have been lending money to for the past 2 years ..... How much has he managed to get out of you so far?
Lets assume though that he does pay you back. How long will the money last?
Why do you have no income? How old are you? How to you expect to support yourself for the rest of your life? If you are elderly then, unless you have a wealthy husband/wife to support you, you have a very serious ongoing problem and urgently need to speak to somebody about it.
NOBODY except a loan shark will give you any sort of loan or credit card with nil income.

cerealbral

Thanks for your concern. I can see how it might look like I am being taken for a ride and friends have voiced similar concerns, but what it comes down to is trust. Trust in someone who I have known for years and I know will never let me down. Naturally on a forum devoted to money trust is in short supply, and rightly so. But among friends it is the most valuable commodity, and as I value his friendship I decided to help.

Of course this has dragged on for far longer than I expected and sometimes I question my judgement. Things might still not go according to plan, but that's life. But I am as certain as I can be that he fully intends to pay me back, even if it means selling his house which is looking more likely now that his situation is affecting me. It would have been easier to have not offered the loan and let him struggle on his own. In the past I probably would have done just that - the sensible thing, the safe thing. But I decided I didn't want to be that person any more. I wanted to make that commitment to actually help someone.

I will probably end up selling stuff on ebay to make ends meet over the coming months and I'll just have to let the interest build up on the cc until he pays me back. It's a pain but it's not the end of the world. The main thing is I will have helped someone get back on his feet, and I am really looking forwards to that.