Help needed!

HR92

Hi all, new member here,
I took a loan with Oakam a couple of years and this has since been passed to a debt company called Lantern.

I want to move this debt onto a 0% interest account but i am unsure what type of credit card i would require for this, ie. balance transfer or purchase.

Thanks in advance
Hayley

antrobus

HR92 wrote: »

Hi all, new member here,
I took a loan with Oakam a couple of years and this has since been passed to a debt company called Lantern.

I want to move this debt onto a 0% interest account but i am unsure what type of credit card i would require for this, ie. balance transfer or purchase.

Thanks in advance
Hayley

Mmm.

Well, the representative (variable) APR on an Oakam Loan is currently 1421%! You appear to have defaulted on that loan and it has been passed to Lantern Debt Recovery Services.

No one is going to offer you a 0% interest credit card.

You need a Plan B.

DCFC79

HR92 wrote: »

Hi all, new member here,
I took a loan with Oakam a couple of years and this has since been passed to a debt company called Lantern.

I want to move this debt onto a 0% interest account but i am unsure what type of credit card i would require for this, ie. balance transfer or purchase.

Thanks in advance
Hayley

What is the amount outstanding ?

HR92

Thanks for replies.

I have been taking steps to improve my credit score over last 12 months and using the eligibilty check on this website i have 80% chance of a 0% interest balance transfer credit card.

My outstanding balance is just over £700. I know I am unlikely to be offered a credit card with £700 but I was thinking moving some is better than nothing.

Thanks
Hayley

sourcrates

If the debt has defaulted, then no further interest will be added as the balance is frozen.


Lantern (used to be MotorMile Finance) don`t mange debts, they buy them, so no interest or fee`s are been added, they are forbidden from doing so unless the original agreement allows this.

So your debt is already interest free !!

System

Even moving some to a 50% APR card would be better than what you're paying to Oakham. Problem is though you have a loan from a sub-prime lender which is already a red flag to mainstream lenders and you have a default on that sub-prime loan which is adding a massive neon sign a thousand feet high saying "DO NOT LEND TO THIS PERSON" to the red flag to mainstream lenders.

The one silver lining is that now the loan has been passed onto a debt recovery agency there won't be any more interest added so effectively turning it into a 0% loan from hereon in. I would see what repayment terms you can get from the debt recovery company before going for a credit card as the damage to your credit file has been done and as long as you keep up repayments to the debt recovery company it won't get any worse.

Edi81

You don’t have s credit score. You have s credit history and I can’t see you getting 0% credit card. You’re too much of a risk to a lender.

As someone has already Said you would be better off applying for a 50% credit card.

enthusiasticsaver

If it has been passed on to debt collectors hasn't the interest been frozen anyway?

haxor

enthusiasticsaver wrote: »

If it has been passed on to debt collectors hasn't the interest been frozen anyway?

legally as soon the file got to a debt recovery agency they need interest would be frozen - the only way they going to recalculate this is if the file get escalated to further action.