Back on track but need advice

youngandreckless

Hi All,

I thought I'd start a new thread for this as I'm trying to find the best way to get rid of my overdraft.
Do you think I should put it on a 0% card? Add it to my loan? Or grit my teeth and get it down by as much as poss each month?
I'm trying to come up with the best solution financially, but also mentally - I don't want to slip up again...
Any thoughts? I know I'm covering old ground, but I keep making a pigs ear of things and I want out of this mess once and for all.

Thanks

Y&R x

nelly_2

Definately put it on 0% card.

Or look at it this way; If the bank phoned you up and said

" would you like to keep paying interest or would you like us to stop charging interest alltogether?"

what would your answer be?

youngandreckless

Fair point nelly thanks! I'm just so useless with all this sort of thing (although better than I was), that I end up going round in circles with it.

Rafter

Danger with a 0% card is the trap that the banks hope you will fall into. Ie not paying it off before the 0% deal ends.

If you are going the zero % route, make sure you do the following:

Pay off your overdraft and don't be tempted to use it again.

Cut up the zero % card so you aren't tempted to spend on it.

Set up a direct debit for the minimum payment.

Set up a regular payment to a savings account for a percentage of the total balance so by the end of the promotional period you have enough money to repay your credit card in full - forever.

Good luck

R.

youngandreckless

Thanks Rafter, I will follow your advice to the letter, I'm not comfortable with credit cards so would want to get rid asap.