We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Balance transfer
Options

pabla
Posts: 2 Newbie

in Credit cards
Hi, my daughter has £ 7200 debt from 3 credit cards and has other loans amounting to £6000 which results in about £300 interest monthly. Her credit score is fair but she is only able to get a £1500 balance transfer for 6 months. Unless there is another way, I am willing to help to pay off the debt and she repay me by direct debit thus reducing the amount of interest she is paying.
My question is - "Is there another, maybe better, way?"
My question is - "Is there another, maybe better, way?"
0
Comments
-
There is a saying never lend to friends or family - with good reason.
At the end of the day she has built up this debt - how overspending?
If you are happy not to be repaid and are prepared to lose your money go for it - do you have any other children?0 -
pabla said:Hi, my daughter has £ 7200 debt from 3 credit cards and has other loans amounting to £6000 which results in about £300 interest monthly. Her credit score is fair but she is only able to get a £1500 balance transfer for 6 months. Unless there is another way, I am willing to help to pay off the debt and she repay me by direct debit thus reducing the amount of interest she is paying.
My question is - "Is there another, maybe better, way?"
Suggest that to her
If she won't do that then you have to question whether she wants to get debt free at this time, or whether she's actually happy with the debt juggling.0 -
Thanks for your comments
I would like to know what is the max credit and time limit to repay for a 0% balance transfer.0 -
pabla said:
I would like to know what is the max credit and time limit to repay for a 0% balance transfer.If you mean maximum credit limit, then it depends on the person - credit history, disposable income and other debts (if any). There are eligibility checkers, including here on MSE, bot not very reliable. For time limits see Balance transfer credit cardspabla said:... she repay me by direct debit thus reducing the amount of interest she is paying.
My question is - "Is there another, maybe better, way?"Define 'better'. 0% balance transfer is the cheapest, especially without a BT fee.Theoretically it can be any other borrowing that is cheaper than her current CCs.
0 -
generally you get the best 0% deals when you dont need them.
The way a credit card company will see it is the money could be transferred and then the original card used again so they take the total available credit into account. And total credit available depends on your history and earnings. I have found that I can generally borrow about 1x my annual wage. but that will differ person to person
As has already been said theres a lot of reports lending to family/friends on here ending badly. Be prepared to not get it back and fall out over it0 -
that is very nice of you and if you are willing to help your daughter pay off her debt then the best way to do it is for her to set up a standing order to you each month for whatever amount you agree
the only slight worry is you need to be completely clear in your mind what would happen and how you would feel if your daughter stopped paying for whatever reason. obviously you do not want any rift between you.
I do not know your financial circumstances and if for example that happened you may just write it off with a wry smile. equally you may get extremely angry! only you know
finally as mentioned above if you have other children you may want to consider whether you want to treat them all equally0 -
If you do this, given her situation, I would 100% write off the money - perhaps put it in the will if you have multiple children that this loan is reducing her inheritance if that is applicable?
You can take on the debt though whether you would get a card is also a matter for debate - the credit checker would show you this. Do note that I would 100% expect her to simply run up the debt again as soon as her balance is 0 unless she addresses the reasons why she got to that point.
You can't pay off a loan with a BT card, you would need a separate Money Transfer card for that
Echo the above, she needs to go to the debt free pages and ask for advice, giving her more money won't address the underlying reasons.Sam Vimes' Boots Theory of Socioeconomic Unfairness:
People are rich because they spend less money. A poor man buys $10 boots that last a season or two before he's walking in wet shoes and has to buy another pair. A rich man buys $50 boots that are made better and give him 10 years of dry feet. The poor man has spent $100 over those 10 years and still has wet feet.
0
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.8K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.5K Spending & Discounts
- 243.8K Work, Benefits & Business
- 598.7K Mortgages, Homes & Bills
- 176.8K Life & Family
- 257.1K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards