Advice please

Smashit

About 4414 in debt. Have been made a balance transfer offer by MBNA 0%iver 12 months with3% fee or 3.9 p.a. over 30 months with no fee. Which would be better. I think if I applied for another credit card I wouldn’t get an offer enough to transfer all the debt. Thanks

MEM62

The question is can you clear the debt within 12 months?  If so that is the obvious option.  If not, then the 30 month deal gives you more time but, of course, will cost in interest - albeit at a relatively low rate.   

[Deleted User]

You just need to do the numbers on what you can afford, what is better depends on your finances - the apps usually tell you the total cost when you transfer or just google a calculator

£4546.42 transfer with the 3% fee (£132.42) - 0% interest over 12 months = £378.87 a month repayment to clear before 0% ends

The £4414 if you paid £200 a month for example, you'd clear it in 1 year 11 months and pay £170 interest
If you paid £155 a month you'd clear it in 30 months exactly and pay £221 in interest

Play around with the numbers here:  https://www.moneysavingexpert.com/credit-cards/minimum-repayments-credit-card/