cc or loan costs

bolder

Hello, i have a loan currently at 4000 with 30 months left at 12.9% my cc is offering a money transfer at 5% stated per year. Which would be the best action leave as or do the transfer, hoping to clear it in the next 2 years, how much would i save on intrest if any, thanks

SnowTiger

bolder wrote: »

Hello, i have a loan currently at 4000 with 30 months left at 12.9% my cc is offering a money transfer at 5% stated per year. Which would be the best action leave as or do the transfer, hoping to clear it in the next 2 years, how much would i save on intrest if any, thanks

According to What's The Cost? you're making payments of about £157 month.

If you did the transfer, you would owe £4,200 on the card. If you upped your monthly payment to £175 you would have it paid off within two years and save about £500 in interest payments.

[STRIKE]If you transferred the debt to a card you could make minimum towards it and put the difference in an interest earning account. [/STRIKE]

Edit: I think I misunderstood you. No interest free period on card and interest at 5% per year?

It works out about the same as the details I gave before. monthly payments of £175 a month would get it paid off within two years.

bolder

I pay 167 a month but close, i just want rid off debt if i did minimum payments it would never be gone. tsb isa is only paying 0.5 %

ViolaLass

bolder wrote: »

tsb is is only paying 0.5 %

Is this the interest rate on the credit card?