Do I use Property Sale Profit...?

amat86

Hi,

Not sure where to start, but could do with some help/advice....

I have recently moved house and had some money through as profit from the sale of our previous house. This money is mainly set aside to do up the new house. Annoyingly, my previous balance transfer card has now passed the 0% stage so I am paying more in interest than off the debt.

I have used the eligibility checker (always had very high likelihood in the past and my credit rating is good) to see about getting a new balance transfer card but it shows I will be refused for pretty much every card. I think because I have only been in my new address for a few weeks, and as there will have been credit checks done for new mortgage etc.

I don't know how to proceed and it is stressing me massively....

Do I use some of the money from the profit from property sale to clear the debt so I am not paying ridiculous interest? Do I contact my bank and see if they have any balance transfer card deals (assuming they are more likely to see that my credit score is good?), or do I wait until I have been in the property a couple of months so everything can catch up then try again (still paying the high interest...)?

TIA!

born_again

No harm in contacting your bank and asking.

think most will say pay off the debt.

But to me that depends on how much the debt is over how much savings you have.

amat86

It does make sense I guess, but digging too much into the savings makes me anxious!

Debt is £4000, have around £20k savings...

Retired_Mortgage_Adviser

If I may be so bold, I just don't see any sense in carrying high-interest credit card debt of 4k when you have 20k of savings in your bank account.

In your place, I would first pay off the high-interest debt right now using some of the cash.

Then wait for a few months until your credit records reflect the new address, electoral roll, etc and when it's time to do up the new house you could look at a 0% purchase credit card to use for that, if needed.

amat86 wrote: »

Hi,

Not sure where to start, but could do with some help/advice....

I have recently moved house and had some money through as profit from the sale of our previous house. This money is mainly set aside to do up the new house. Annoyingly, my previous balance transfer card has now passed the 0% stage so I am paying more in interest than off the debt.

I have used the eligibility checker (always had very high likelihood in the past and my credit rating is good) to see about getting a new balance transfer card but it shows I will be refused for pretty much every card. I think because I have only been in my new address for a few weeks, and as there will have been credit checks done for new mortgage etc.

I don't know how to proceed and it is stressing me massively....

Do I use some of the money from the profit from property sale to clear the debt so I am not paying ridiculous interest? Do I contact my bank and see if they have any balance transfer card deals (assuming they are more likely to see that my credit score is good?), or do I wait until I have been in the property a couple of months so everything can catch up then try again (still paying the high interest...)?

TIA!

born_again

amat86 wrote: »

It does make sense I guess, but digging too much into the savings makes me anxious!

Debt is £4000, have around £20k savings...

No brainer.
Get rid of the debt.

As other answer, then look for another card later when you are doing up your new property for the extra protection afforded by them.
Just then pay it off in full. :T