1

alanmc_4

i have 5.000 on credit card . i'm paying 200 a month but intrest is 75 .what can i do to make it cheaper been refused 0 per cent due to trust deed.help please!

Xbigman

Which card is it and what is the APR?

If the rate is high you might be able talk the CC company into lowering it.

Ultimately though the lowest APR's are had by those who pay off the cards in full every month. IE. zero. If you can afford more than 200 you will pay your debt off faster and pay less interest per month as time goes by.
Regards



X

alanmc_4

allience/leicester apr 1.8 per month
have been offered a loan at 15.9% apr over 3 years
thats £6225 in total.
what do you think? stick with the cc or go ahead?
thanks for your time and advice!

Xbigman

1.8% per month is something like 24.9% per year, which is well high. Looking at this in isolation you are better off taking out the loan, BUT that is also a pretty poor loan rate. I take it your credit history is poor but it might still be worth your applying for one or two other loans that would pay it off with a lower APR. Don't apply for loads of loans as you might end up getting your current loan offer rejected because of it. If you can't get a better loan then take this one.
Also, do not take PPI insurance with your loan as this bumps the price up considerably.

Second point. If you have run up a CC debt once you can very easily do it again (as lots of us have). Cut up your card and close the account once any loan is set up. It is vitally important to control your future spending and stop any debts building up again.
Regards




X

alanmc_4

i'll give your advice a try,and report back next week.
thank you xbigman, you're a star! :