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Trying to get my personal loan to 0%...

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Hi, I got a £10,500 unsecured personal loan last April on a 60 month term at £189.39 pm / 3.2% APR. I have managed to overpay this loan over 12 months meaning my outstanding amount is now £6000 (Bank hasn’t given me an early settlement figure yet). I want to try and get the loan onto a 0% via credit card - £4000 / cash - £2000 but have noticed all credit cards offer 20+ months Money Transfer at 0% but charge 4% admin to do this!? Any suggestions community?

Comments

  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Work out whether it's worth it to pay the fee. 

    If so, go for it, but get the balance as low as you can by paying the cash off the debt first.
  • Durban
    Durban Posts: 485 Forumite
    Tenth Anniversary 100 Posts Name Dropper
    Work out whether it's worth it to pay the fee. 

    If so, go for it, but get the balance as low as you can by paying the cash off the debt first.
    I don't understand.  How can it be worth paying the fee if the fee is 4% and the loan is 3.2%?
  • [Deleted User]
    [Deleted User] Posts: 35,242 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    edited 2 April 2020 at 2:48PM
    Because the fee is a one off.  

    The APR is an ongoing rate.
  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    IMO it would be much better to carry on overpaying the loan than trying to get a 0% card at this time.
    The loan rate you have is very good - in these Coronavirus times cash is king - make sure you do not leave yourself short of reddies.
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