Small Steps Out Of Massive Debt!

EssexHebridean

So this will presumably mean a re-jig in how you manage things in terms of what gets paid off first too? If you're transferring some of the MBNA debt will you be able to transfer over the "right" bits or will it all get taken in the order they want it, do you know? It looks like some challenging calculations to be done there whatever!

Hiddenidenity

Well done on the 0%

Moneybutterfly

I really admire how you're getting to grips with this, you've inspired me to get going thank you! X:j

Moneybutterfly

Try your local buy and sell site on Facebook, a lot easier and no hidden fees. Straight up cash on collection.

GeorgianaCavendish

EssexHebridean wrote: »

So this will presumably mean a re-jig in how you manage things in terms of what gets paid off first too? If you're transferring some of the MBNA debt will you be able to transfer over the "right" bits or will it all get taken in the order they want it, do you know? It looks like some challenging calculations to be done there whatever!

I need to double check with MBNA before I do anything, but from previous conversations with them I understood that any amounts paid off or transferred would first come off the highest interest rate and then the oldest balance. All my MBNA debt is now on the same rate, so those tranches with promo rates expiring in Oct and Nov should be the first to be transferred.

My plan (assuming all is ok with my Lloyds application!) is:
1) Transfer £950 from MBNA to Tesco CC (£950 is the limit for balance transfers with Tesco. It would take care of all the Oct tranche and big chunk of the Nov tranche)
2) Transfer £304.48 from MBNA to Lloyds CC (this would be remaining balance on the Nov tranche after the Tesco transfer and the July Direct Debit)
3) Transfer £2695.52 from Barclaycard to Lloyds CC

Then I think my repayment priorities would change to:
Barclaycard
Catalogue
MBNA
Tesco (shortest interest free period)
Lloyds (longest interest free period)

Although I am torn between paying MBNA off first (promo rate ending in May 2018) or paying Barclaycard & catalogue first because these have the highest interest rates. And hoping that I'll get a new low or 0% offer in time to transfer that remaining MBNA balance. Argh!!

GeorgianaCavendish

Hiddenidenity wrote: »

Well done on the 0%

Thank you!

Moneybutterfly wrote: »

I really admire how you're getting to grips with this, you've inspired me to get going thank you! X:j

Moneybutterfly wrote: »

Try your local buy and sell site on Facebook, a lot easier and no hidden fees. Straight up cash on collection.

Thanks Butterfly! That is really nice to hear and good luck on your journey
I'm at the end of my selling for now but I'll keep Facebook sites in mind for next time. My issue with it is that it would be a faff to arrange collections whereas with ebay I can take stuff to the post office and don't have to deal with people coming round. Me & my OH both work unpredictable hours and we aren't often around at weekends so it would be difficult to arrange a time for someone to collect goods.

EssexHebridean

I'd be inclined to tackle the catalogue, then Barclaycard I think. There's a good chance that as your Barclaycard balance disappears, they could offer you a 0% deal that might take account of the MBNA anyway - and if not by the time the rate increase on that one gets a bit closer, I'd guess your credit file will be good enough that another 0% would definitely be a likelihood.

Sometimes I think we have to work away at stuff based purely on cold hard figures - as sometimes those are the only things that actually made definitive sense!

Really hoping this all comes together for you now! :T

kirtsypoos

0% deals are the best! Well done GC

GeorgianaCavendish

EssexHebridean wrote: »

I'd be inclined to tackle the catalogue, then Barclaycard I think. There's a good chance that as your Barclaycard balance disappears, they could offer you a 0% deal that might take account of the MBNA anyway - and if not by the time the rate increase on that one gets a bit closer, I'd guess your credit file will be good enough that another 0% would definitely be a likelihood.

Sometimes I think we have to work away at stuff based purely on cold hard figures - as sometimes those are the only things that actually made definitive sense!

Really hoping this all comes together for you now! :T

I think it would be a psychological boost to get rid of the catalogue debt too. Even though it is only a fraction of the amount I owe, it is still a separate account and entry on my spreadsheets - it would feel so good to get rid of one account completely!

GeorgianaCavendish

JoJoC wrote: »

That's the dream! :rotfl:

It certainly is!

kirtsypoos wrote: »

0% deals are the best! Well done GC

Thank you! Yes they definitely are, fingers crossed for more coming my way!