Loan or credit card

Samtan829

Hi all

I'm looking to pay off a few bills

Am I better off applying for a loan, or am I better off applying for a credit card

Thanks

Gambler101

If by bills you mean debts, then they need to be paid off by your income, not borrowing otherwise your finances will spiral out of control.

If you mean normal bills ie utilities, then you are living outside your means and need to cut back on your spending.

Samtan829

Sorry I should have a bit more clear

I would like to pay off my partners and I overdraft approx 3500
I'm thinking paying it off and have no overdraft bank charges etc and pay on a 0% credit card or a small loan and pay of the card rather than being continually paying the charges

We've both been in our for a couple of years (could have paid it off by now!)

Thanks

[Deleted User]

You've not given us much to go on, as to what you might be likely to get.

But living in your overdraft will limit your options. Try an eligibility checker but remember you will need a money transfer option if you go the card route.

foxy-stoat

Credit card with a money transfer option is your cheapest bet. But if you haven't cleared your O/D's in 24 months then you need to adjust your lifestyle/spending habits not take on more debt.


Good luck with it and I hope you cancel the O/D's once they are clear, oh and cut up the card once you have done the money transfer and aim to clear the debt within the 0% interest period.

Samtan829

With four daughters it's hard to clear the overdrafts etc
So I'm thinking to get a 0% card to pay off the overdraft then cancel the overdraft facility and stop paying the endless fees and pay the card off and like stated earlier cut the card up etc

The overdraft fees (approx 35-40) I would be paying can go to the 0% card, I'm also starting a temp promotion on work and was thinking the extra money I'll be earning put that towards the card to get it paid off quicker?

Thank

foxy-stoat

You will have to make changes to your monthly budget as if your overdraft has not reduced much in 2 years just because of the £35-£40 a month fees then you have bigger problems.


Unless its far too easy for you to spend into the cleared overdraft once you pay a little back if one of the family needs something or other - you need to budget an amount every month for non-essentials and when the money is gone its gone.


Good lucks