Continue transferring or another option?

ratechaser

CraftyHelen said:

born_again said:

sourcrates said:

Hi,

"playing the 0% transfer game" is only ever a short term solution, and is usually used as a stop gap measure.

Sadly something that many people failed to realise and the whole Stoozing became a game to keep transferring a debt on & on, while never paying any real amount back as they kept spending.
ML has got something to answer for on this as part of his money saving years ago and encouraging people to do it. Maybe now he would like to do something on his show about this and how people need to have that "Exit Plan" in place rather than just keep putting off the inevitable. Which thanks to Covid has happened.

I suppose in some ways lenders have to shoulder some of the blame, as they should have realised this and instead of taking people on with balance transfers. There should have been something in place that checked and if a balance was moved more than X times then a block was placed until it was fully paid off.

Just tweeted the idea to ML to  see if he will do something on his show. As it is a important matter now, with so many people in such dire straights.

I believe I learnt from ML about the 0% transfer game and for a bit it actually was helpful. But having a child and moving since then hasn't helped matters. I just want to put it all into one and pay it off. I guess without them knowing the full details of what I want to use the money for, they just think I want £9k.

 But the issue with this is no different to many other debt consolidation threads on here - you could SAY that you are going to use the loan to pay down the CC debt, but the lender can't be sure you WILL use the money for that purpose - not like they pay the card off for you, it's just 9k in your account to do with as you wish.

And believe it or not, some people go into the process with the best intentions, but if they do get the loan approved... well it can be tempting to use a 'bit' of it for something else... and boom, suddenly their debt has doubled...

And so that's the risk position that banks adopt nowadays when making their decisions... which is why a different exit strategy - one that actually pays off the whole debt - is needed.

born_again

CraftyHelen said:

No problem. 
My reply was not aimed at you, but a general (rant) as it is something that Covid has brought to the forefront.

I am surprised that when asking for the loan, they did not ask for the purpose of it, as that is usual a standard question.

CraftyHelen

born_again said:

CraftyHelen said:

No problem. 
My reply was not aimed at you, but a general (rant) as it is something that Covid has brought to the forefront.

I am surprised that when asking for the loan, they did not ask for the purpose of it, as that is usual a standard question.

Haha it's okay, I'm full on rant this week! 

At the start of the application I clicked a button that said consolidating credit. But that's obviously not enough. Another issue is I have a PCP for the car. So even though the CCs come to about £9300, my actual debt according to Experian is £27K!! Silly how it works. 

[Deleted User]

CraftyHelen said:

born_again said:

CraftyHelen said:

No problem. 
My reply was not aimed at you, but a general (rant) as it is something that Covid has brought to the forefront.

I am surprised that when asking for the loan, they did not ask for the purpose of it, as that is usual a standard question.

Haha it's okay, I'm full on rant this week! 

At the start of the application I clicked a button that said consolidating credit. But that's obviously not enough. Another issue is I have a PCP for the car. So even though the CCs come to about £9300, my actual debt according to Experian is £27K!! Silly how it works. 

That isn't silly. If you have a car on PCP, presumably still owing 18k then your total debt is PCP + cards which may well be why you can't get another 0% card, hence why you need to use the plan you made when you started the card shuffle (savings for example) to pay off the debt before you start paying interest.

born_again

CraftyHelen said:

born_again said:

CraftyHelen said:

No problem. 
My reply was not aimed at you, but a general (rant) as it is something that Covid has brought to the forefront.

I am surprised that when asking for the loan, they did not ask for the purpose of it, as that is usual a standard question.

Haha it's okay, I'm full on rant this week! 

At the start of the application I clicked a button that said consolidating credit. But that's obviously not enough. Another issue is I have a PCP for the car. So even though the CCs come to about £9300, my actual debt according to Experian is £27K!! Silly how it works. 

Ah. Consolidating credit (that is the reason for the loan) will make them look a lot more in depth at your level of debt & ability to pay.
Wish you well in finding a solution. Maybe post a Statement of Affairs on the debt board if you feel this may get out of hand going forward.