Help, I owe a friend money!

Gruffy

Good morning!
A bit of friendly advice needed. Earlier this year I was lent money by a friend to cover the cost of replacing my heating. The friendship has however, deteriorated a good bit. Whilst she hasn't mentioned the money (that I am slowly repaying month by month), I would really rather pay her off and repay a 0% credit card instead. Any idea how this can be done?
I already have a credit card with enough on it to pay her off but the interest rate is quite high as I got it to build up my credit rating so I dont eant to use that to repay my friend. If possible I would also like to balance transfer what I owe on this credit card too. Hope all this makes sense!
Thanks in advance!

[Deleted User]

You'll need a money transfer card to pay your friend. If your credit history is weak, you're unlikely to get one.

Look at cutting costs to repay them more quickly.

DCFC79

Your credit rating is only seen by you and you only. Lenders, banks etc see your credit history, this is what your improving.

Merlin139

Do you expect your friendship to improve again? If not just carryon as you are trying to cut costs so you can increase payments.

Herzlos

You can always stooze on the card - buy everything you'd normally use cash/debit for on the card, and give the cash to the friend.


Obviously you only want to do that if you've got a good rate for purchases (like a 0% offer), and it may take a while. But it'll be a lot cheaper than a cash advance / money transfer (normally about a 3% withdrawal fee and then a higher APR).

T-G-C

That must be difficult. I would personally keep repaying the person directly and if possible, make additional payments to clear the debt faster.

The friendship must have been strong at one point, as I don't think we are talking about a tenner for a packet of Marlboro here, I am thinking quite a considerable amount for heating.

The once solid friendship may have faded, but the money was loaned in good faith at that time and therefore you should not feel guilt or a moral obligation to terminate ties with them in this respect immediately, as I am sure the person would have voiced their thoughts about it, had they expected more in repayments or were not otherwise happy with the current understanding.

Transferring informal and unregulated debt into formal and regulated debt seems quite backwards to me, although it would depend on how bad the fallout was. I would personally continue the current repayment arrangement and simply make bonus transfers when you can afford to. By doing this, it demonstrates you have good morals and still respect the person, as a lot of people I have come across, unfortunately would not bother repaying, as it is not a legally binding arrangement.

Gaz83

I have to say, it's refreshing that you are keen to honour your debt despite the breakdown in your friendship. It's often the other side you hear about on here.