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Loan or balance transfer?

Hi just need some quick advice, I've 3k on a credit card and paying very high interest on it so only able to pay the minimum amount. Should I get a loan to pay this debt off or would it be best to transfer the balance to a different card with 0% interest on balance transfers? I do still want a card to use but the interest on my current card is sky high, thanks in advance....
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Comments

  • YorkshireBoy
    YorkshireBoy Posts: 31,541 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Since there are several BT cards around with 0% fees and 0% interest for x months, your question is really "should I pay interest on a loan (and therefore take longer to repay my debt and pay more for it) or should I avoid paying interest on my debt (so it costs me less and I can clear it sooner)?"

    Does that help you reach a decision? ;)

    When you say you still need a card, do you need to run up a revolving balance...or will you be settling the old card in full each month once cleared of the original debt? If the former, then you're on a slippery slope. If the latter, then make sure you stay on track!
  • INAMESS
    INAMESS Posts: 150 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    So I guess BT card is best then lol
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    INAMESS wrote: »
    So I guess BT card is best then lol

    plus of course reducing your spending and trying to earn more so you can reduce your debt to zero and start to save.
  • INAMESS
    INAMESS Posts: 150 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Is there a particular BT card that is better than the others and reasonably easy to be accepted for?
  • DCFC79
    DCFC79 Posts: 40,641 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    INAMESS wrote: »
    Is there a particular BT card that is better than the others and reasonably easy to be accepted for?

    Might be, M Lewis covered them in his tv show the other week.
  • INAMESS
    INAMESS Posts: 150 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Didn't see it
  • INAMESS
    INAMESS Posts: 150 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Following on from my previous messages here, I have a Vanquis card which has high interest, I've applied to transfer the balance to a 0% BT card which was accepted but they have only offered me a limit of £1000, my Vanquis card has £2500 on it. Now should I ask my new card if they would review the limit? Or should I apply for another card elsewhere too? Or should I take out a loan? They all seem better than paying Vanquis interest rates but I'm not sure which is best?
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    INAMESS wrote: »
    Following on from my previous messages here, I have a Vanquis card which has high interest, I've applied to transfer the balance to a 0% BT card which was accepted but they have only offered me a limit of £1000, my Vanquis card has £2500 on it. Now should I ask my new card if they would review the limit? Or should I apply for another card elsewhere too? Or should I take out a loan? They all seem better than paying Vanquis interest rates but I'm not sure which is best?

    -take advance of the 1000 as 1000@ 0% is better than at a high rate
    -try asking for a higher limit
    -if that doesn't work then try another 0% BT card
  • INAMESS
    INAMESS Posts: 150 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Ok cheers. If they don't agree to a higher limit and I apply for another 0% card is it going to be harder to get one seeing as I've just got a new card anyway? Or seeing as I was accepted for my new one shouldn't it make any difference if I apply for another?
  • Marcio45
    Marcio45 Posts: 240 Forumite
    Ninth Anniversary 100 Posts
    It should be ok to apply for a second card. Most probably your new credit card (the one with £1000 limit) is not yet reported as a new account on your credit report. What will be there is a credit search, but having a second credit search should not be an issue. If you are refused, stop there and try again in a few months (6 months is best).
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