Which balance to move to 0%

buttonbear1

Hi all - could do with some advice on best way to tackle currrent cc debt please, so I don’t make any more errors and can try make some movement on payments/pay less interest. 

Debt summary:

Barclaycard £9900 - paying interest 24%

Virgin card 1 - £3115 - 0% promotion ends Jan 2025

Virgin card 2 - £1112.50 0% promotion ends Jan 2025

Lloyds Card - £3540 - paying interest 24%

(Making minimum payments across all - no available funds to pay more)

I’ve just received a 0% balance transfer offer on an old Tesco credit card ends June 2025 with 4.99% fee with available balance of £6640

Cant get any new 0% cards currently. 

I will be receiving a lump sum payment of equity in November of approx £8-9k which the full amount will be going straight onto this debt, but in the mean time what would be the best approach with moving some of this debt onto the 0% card, my original plan before the offer came in was to pay off the majority of the Barclaycard with the equity payout then tackle the Lloyds and hope I get another 0% offer once those balances clear to move the virgins onto until I can tackle those at a later date.

But upon looking again I’m now I’m not sure if to pay off virgin cards and Lloyds, small part of Barclays with the equity and 0% transfer the £6640 of Barclays now and then hope I get more offers towards the end of the year for the remainder of Barclays and just funnel all payments into that with the other ones being cleared?

Hope this all makes sense!

Thank you 

TheAble

It's expensive however you do it really since a 5% fee on £6600 is a chunk of change. On the other hand you're currently paying out £250 a month in interest.

For simplicity I'd personally use the lump sum to pay off the Barclaycard and pay down the rest as quickly as you can. I wouldn't use the 0% or indeed do any more balance transfers - doing this I think will just prolong the amount of time you're in debt.

Superhoopza

Either barclaycard or Lloyds as you are paying interest on them. Might make it easier to pay off Lloyds, close the card and then transfer the remainder from barclaycard.

Something to consider, what will be the interest rate when the Virgin cards 0% ends, will it be higher than 24%? 
Secondly, what will be the Tesco interest rate when the offer expires in June 2025? Presumably higher than 24%? If so then ideally you need a plan to have paid that off by the end of the offer, which if you're only paying minimums, you may not have enough but you'll need to do the calculation.

MFWannabe

buttonbear1 said:

Hi all - could do with some advice on best way to tackle currrent cc debt please, so I don’t make any more errors and can try make some movement on payments/pay less interest. 

Debt summary:

Barclaycard £9900 - paying interest 24%

Virgin card 1 - £3115 - 0% promotion ends Jan 2025

Virgin card 2 - £1112.50 0% promotion ends Jan 2025

Lloyds Card - £3540 - paying interest 24%

(Making minimum payments across all - no available funds to pay more)

I’ve just received a 0% balance transfer offer on an old Tesco credit card ends June 2025 with 4.99% fee with available balance of £6640

Cant get any new 0% cards currently. 

I will be receiving a lump sum payment of equity in November of approx £8-9k which the full amount will be going straight onto this debt, but in the mean time what would be the best approach with moving some of this debt onto the 0% card, my original plan before the offer came in was to pay off the majority of the Barclaycard with the equity payout then tackle the Lloyds and hope I get another 0% offer once those balances clear to move the virgins onto until I can tackle those at a later date.

But upon looking again I’m now I’m not sure if to pay off virgin cards and Lloyds, small part of Barclays with the equity and 0% transfer the £6640 of Barclays now and then hope I get more offers towards the end of the year for the remainder of Barclays and just funnel all payments into that with the other ones being cleared?

Hope this all makes sense!

Thank you 

Personally I’d pay off both Virgin cards and Lloyds card and put remainder of money aside as an emergency fund. 

Virgin are really good at offering new 0% deals so by doing this you may get a new offer from them to enable you to transfer the Barclaycard debt 

In the meantime throw as much as you can every month at Barclaycard