Please help me...confused about loans....

sarahmoo

Hi

Dad has built me a conservatory (wowwee) and I need to pay for materials.... one cheque for £2700 and another for a few hundred quid. I owe him a fair bit for materials too.

Initially I applied for a moneyback loan of £4000at 5.7% to pay back over 1 year but haven't sent the form in because I have got the idea that I should somehow use a 0% credit card... but how will this work? I can't quite figure the what to do? Also, do need to pay these bills off in the next week or two!

Please advise and also suggest the best card to go for. I have good credit rating ( I think), no other outstanding debts apart from mortgage....

Many thanks folks

Caped_Avenger

If you can get a credit card with a sufficient limit, offering 0% for longer than the period than you anticipate it will take to pay the amount off, and allowing you to do a SBT to your current account before you write the cheques, then that's your best bet. even if it charges a 2% fee, that's lower than the APR on a personal loan.

One problem you'll encounter is applying for and being accepted for a credit card, then doing the balance transfer in the 1-2 weeks you say that you have. Sorry to be negative.

Don't suppose you've approached your mortgage provider to see what they can offer, have you?

Otherwise, the APR you have on that loan is pretty good.

YorkshireBoy

sarahmoo wrote:

I have got the idea that I should somehow use a 0% credit card... but how will this work? I can't quite figure the what to do?

Also, do need to pay these bills off in the next week or two!

As Caped Avenger says, your plan has fallen at the first hurdle as you've no chance of sorting a credit card/SBT out in time.

Before we point you in the right direction to research your options, by linking to articles & posts on the credit card forum, please clarify whether you intend to stall your Dad and go down the credit card route, or whether you'll complete your application for the loan and go that way instead.

sarahmoo

THanks so much for advising...will ask dad today

what's an SBT ?!

Caped_Avenger

sarahmoo wrote:

what's an SBT ?!

Sorry, should have explained. An SBT (Super Balance Transfer) is like a normal BT (Balance Transfer), the difference being that BTs can only be sent to credit cards and storecards, whereas SBTs can be sent to overdrafts and personal loans as well.

sarahmoo

OK... yes I can go 1800 overdrawn to pay for one of the bills. How do I get a SBT card and which one is recommended?

Thanks for reading