Lloyds TSB 12.19% - Should I get a cheaper deal

mi33cupc@ke

Hi everyone, just after a bit of advice really. I took out a Lloyds consolidation loan in Jan 2006 for £19,500 @ 12.19% for 7 years. The repayments are £346 per month and the interest is calculated daily. The balance is now about £16850. I would like to get rid of this as quickly as I can, however I don't have much money to throw at it as I also have some debt on 0% credit cards. What I would like to know is, would it be better for me to make overpayments onto the existing loan or to try and get a cheaper deal with someone else for perhaps 7% apr over a shorter term?

Sorry if the answer is obvious but I never understood the way the interest is worked.

CLAPTON

yes, if you can get a loan at a significantly lower APR rate then it would be worthwhile setttling the Lloyds debt.

jonesMUFCforever

Go and see them! If you have made the repayments satisfactorily since the loan was opened they might do you a new loan at a lower rate.

porsche289

I took out a loan with TSB and after much haggling i got 7.9% which is supposedly the staff rate but only because the manager had pound signs in his eyes over the interest. Might be worth haggling.