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Clear SC or a HP loan first?

Good evening all,

I have a question I'm hoping someone will be able to help me with.

I have a Step Change agreement and a HP for a vehicle I bought in May 16. At present, SC is £180 per month, last payment due Nov 2019. The HP is £196.95 a month, last payment due May 2019 APR 37.6%.

From the end of July this year, I'll have a spare £120 per month from another loan that will finish, so I'd like to put this extra money towards one of the two account listed above. Question is, which one should it go to?

Thanks for looking! :j
March 2019 Debt free goal.

31 Jan 2017 Total Debt:£13,089.

Comments

  • zenshi
    zenshi Posts: 1,142 Forumite
    Part of the Furniture 500 Posts
    Assuming the creditors have all frozen interest and the HP is high interest. Pay extra to the HP again assuming no penalties for overpaying
    LBM.....sometime in 2013 £27,056. 10 creditors
    June 20.....£7,587.....3 creditors left 72% paid

    £26,200 on interest only part of mortgage (July 16)...will chip away £17,103
    £49,200 repayment mortgage ( July 16) £37,764
  • zenshi wrote: »
    Assuming the creditors have all frozen interest and the HP is high interest. Pay extra to the HP again assuming no penalties for overpaying

    All accounts on SC have frozen the interest as far as I'm aware.

    Thanks for the reply.
    March 2019 Debt free goal.

    31 Jan 2017 Total Debt:£13,089.
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