Bit of advice

Rugby23

Hi, just abit of advice as it’s the new year,

I currently have a
Loan of £4000 which is £226 a month which has has 19 months
Credit card bill of £1000 pay currently £30 a week

I current have £7000 saved up in a saving account and £2800 in a help to buy isa, as I want to increase my saving do you think I should pay my debt off with my savings of £7000 then I’m cleared of it mean I’m saving an extra £350 a month.

Buffythedebtslayer

Rugby23 wrote: »

Hi, just abit of advice as it’s the new year,

I currently have a
Loan of £4000 which is £226 a month which has has 19 months
Credit card bill of £1000 pay currently £30 a week

I current have £7000 saved up in a saving account and £2800 in a help to buy isa, as I want to increase my saving do you think I should pay my debt off with my savings of £7000 then I’m cleared of it mean I’m saving an extra £350 a month.

I think yes, but I really don't like being in debt any more. Paying off the debt doesn't leave you skint - you would still have 2000 left, and it would immediately be 2350 next month. You would be making progress instantly.

XX

Chrystal

If the interest you're paying on your debts is more than the interest you're earning on your savings then I'd pay the debts off.
So if your CC is 0% then just pay it as you are until the 0% is due to run out. You're probably paying more interest on the loan than you receive in savings interest, in which case pay the loan off.