graduate loan advice

dawnpiper

hi there,

I asked a friend for some advice and he directed me to this forum..

I rang up hsbc today to change my address and they ended up offering me a graduate loan. I have never really considered this but she explained I could consolidate my overdraft and credit card and pay less interest. Naturally I was synical so I turned it down.

These are currently the debts I have...
HSBC credit card £1800 - 18.8% apr
HSBC overdraft £1950 - 18% apr on the £950

I could get a graduate loan of £3750 to pay off the above spread over 2 years with an 11.9% apr. I earn £21000 a year.

Any advice on whether I should take this offer from hsbc?

Thanks so much

dannynixon

Do you have to pay the balance of the overdraft off in full by any point? If so, will the full 1950 be charged at 18% apr?

If this is the case then I would consider this. You will not be offered a graduate loan for ever. I think it is about 3 years but not 100% sure