Help, please :)

buffness

Hi,

OK - not afraid to admit this but over the past few years my handling of credit hasn't been the best - however, thanks to this wonderful site, I've taken on board some of the hints and tips to manage credit more effectively and I am now eligible (and been successful) for a Barclaycard with 0% for 18 months on balance transfers.

My current credit card debt is:

Aqua - £1174.42
Capital One - £700.00

I've been honoured a credit limit of £1200.00 with Barclaycard however I'm slightly confused as to how this works.

What I've done is transferred £1000.00 of the Aqua balance to this card but I'm aiming to manage this properly. Can anyone advise the best way to pay off the whole debt without incurring the extortionate APR that come with the CO/Aqua card?

I can contribute to £200.00 per month and looking to space this out evenly and in the best way possible.

Thanks very much!!

[Deleted User]

Pay as much as you can to the highest rate card, and minimum plus £1 to the others.

Caz3121

minimum plus £1 to the Barclaycard
minimum plus £1 to the lower APR between Aqua/Capital One
Rest to highest APR debt

buffness

Thanks for the replies.

I'll have around £174 left on the Aqua card after the BT and I'm looking to pay this off using the £200 I can use on my next salary day.

Then, correct me if I'm wrong but pay the bare minimum plus £1 on the Barclaycard, then use the £200.00 to pay off the balance on the Capital One?

Also, why minimum plus £1 (just outta curiosity)

dresdendave

buffness wrote: »

Also, why minimum plus £1 (just outta curiosity)

It avoids a minimum payment marker on your credit file.

[Deleted User]

The extra pound avoids a minimum payment marker on your file, which can suggest you're struggling. Avoiding this may increase your chances of getting other offers in the future.

Thrugelmir

Lenders have visibility of 0% balance transfers as well.

Baby_Angel

dresdendave wrote: »

It avoids a minimum payment marker on your credit file.

Thanks. One never ceases to learn on this forum.

buffness

Wow! Learn something new everyday! Thanks very much.
Just one more quick question...

Once the Aqua and Capital One cards are paid off in full, is it recommended that I close these accounts? Or leave them open and left at a £0.00 balance?

Thanks again

cynthiamyra

What a great in information shared here. Thanks all.

buffness

buffness wrote: »

Wow! Learn something new everyday! Thanks very much.
Just one more quick question...

Once the Aqua and Capital One cards are paid off in full, is it recommended that I close these accounts? Or leave them open and left at a £0.00 balance?

Thanks again

Sorry to be a pain, but if anybody can help on the above question I'd be most grateful

Also - I note many have said that I should may the minimum payment plus £1.00 - my direct debit is set up to pay the minimum payment only, do I then just go ahead and use Internet Banking and transfer £1.00 by way of BACS on the day the payment is due? Or, once I know what my minimum payment is when the bill is produced, I manually change the amount of the direct debit?

Sorry for all the questions, I just wanna make sure I get this right

Thanks very much :-)