Advice please

silly_girl_5

Hi, I posted my SOA a while ago and have so far manage to pay off my overdraft and closed that account! i also managed to pay the outstanding minimum payments on the barclaycard Leaving me with a debt of £4500 Here's where I need your advice, my current APR on barclaycard is 17% and beneficial finance are offering me a loan to pay off barclaycard with an APR of 12.9% they reckon the debt will be paid of in 5 years if i go with them.
What do you think should I go with beneficial finance?
The way I see it if i stay with barclaycard i'm going to be paying them forever with minimum payments.

Many thanks you are brilliant!

Silly_girl
Michelle

getting-sorted-sarah

How much would the monthly payment be?

getting-sorted-sarah

You can use a calculator ( http://www.homesonsale.co.uk/finance/credit-card/credit-card-calculator.php ) to show how long it would take to pay off your card - don't just pay the minimum.
In your case to pay off£4500 over 60 months (5 years) would take £112 a month.

If the loan is less - take it, if not, set up a DD to pay the credit card, and cut it up!

poorandindenial

Well done on the progress so far.

Can you afford to overpay the existing debts?? Could you let us have the monthly payments under the loan and also the minimum amount you have to pay Barclaycard each month.

Can you be SURE that you won't use the barclaycard if you cover it with the loan?? Does the loan have any repayment penalties??

RAS

here is the SOA

http://forums.moneysavingexpert.com/showthread.html?t=674495

I would not suggest a consolidation loan to pay off the credit card, even at a lower APR. If nothing else, once you have the olaon they can almost certainly increase the APR and you cannot get out of the deal.

RAS

Hi

They only way I can see of paying off th loan in 5 years would be to double the amount that you pay each month, so you need to be very careful. I think your minimum payment on Barclays is 1.5%, so what is the minimum on the Loan