Got a sec? Oh good. Come and help Herman sort out his finances.

retired_brawson33 · 10-07-2005, 01:16 PM

The other question is, are there any penalties for early repayment or overpayment on those 2 loans? If so, then this is why I'd concentrate on the credit card after getting rid of 1 loan, the credit card isn't going to penalise you for paying it off, the loan might although the penalty will probably be less than the total interest if you get what I mean.

retired_kris10nicole · 10-07-2005, 01:18 PM

Quote:

Originally posted by Bouncerboy13:
Get a job, use your free cash to clear you Halifax loan, save the cash that you would save from your monthly payments and put into a high inetrest savings account, and store

he'll get what, 5% at best from the savings account? In the meantime i'll bet he's paying more than 6%-7% at absolute best on the loans. Better to use any spare to pay off the loans early.

trotamundos · 10-07-2005, 01:19 PM

Yeah, I am trying to avoid the consolidation loan at all costs. Would feel I have watsed the last three years even more if I was back to a five year loan again.

I have five :o credit cards atm. Only one has anything on it (the Halifax one). The reason I have kept them is that I was hoping one of them would offer me a good deal when the interest free period on the Halifax one runs out in August. I have been very sensible this year and have not used them at all, I reckon I am safe keeping them until Ausgus as I realise what a mess I am in so I won't be sticking stuff on them anymore.

trotamundos · 10-07-2005, 01:20 PM

Quote:

Originally posted by Cockney Cobbler:
The other question is, are there any penalties for early repayment or overpayment on those 2 loans? If so, then this is why I'd concentrate on the credit card after getting rid of 1 loan, the credit card isn't going to penalise you for paying it off, the loan might although the penalty will probably be less than the total interest if you get what I mean.

About a £500 penalty on the first loan. Nothing on the 2nd as far as I am aware.

retired_kris10nicole · 10-07-2005, 01:21 PM

Quote:

Originally posted by Cockney Cobbler:
Oh yeah, and cut the credit cards up NOW, so you can't put more money on them. Then cancel them when they are cleared.

Whatever you do, don't go for a consolidating loan unless an absolute last resort, more trouble than they are worth imo.

Only if he gets a loan over a longer period. He may be able to get a deal with another lender where it's the same amount over the same period, simply with a lower APR. Really depends on how good/bad the original loans were. Any loan he gets will be unsecured, so it won't be like one of these Ocean Finance things over 25 years.

retired_kellywinkler42 · 10-07-2005, 01:21 PM

Thanks, you have at least made me feel better. I'm worried about travelling when I have no cash and a £1500 debt. Needed a confidence boost :thup:

retired_brawson33 · 10-07-2005, 01:22 PM

Herman, ffs mate, just bin those credit cards. You won't get any benefits from them now, those tend to be new customer benefits. Find a new credit card deal for when the Halifax one is about to run out, transfer the debt and stay on top of when they interest free period ends.

As for the card or loan being paid off next after the £3500 loan, toss up imo as to whether the repayment penalties make paying the loan off still worthwhile.

retired_shelly1969 · 10-07-2005, 01:22 PM

£3500 on lucky dips tbh, if you don't win, go abroad and stay abroad. :thup:

trotamundos · 10-07-2005, 01:23 PM

Quote:

Originally posted by stevethedog:
Thanks, you have at least made me feel better. I'm worried about travelling when I have no cash and a £1500 debt. Needed a confidence boost :thup:

Tbh, the loans themselves are at pretty good rates. One is a graduate loan, and the other with Alliance and Leicester at about 6.8%

retired_kris10nicole · 10-07-2005, 01:23 PM

Quote:

Originally posted by Herman Bloom:
Yeah, I am trying to avoid the consolidation loan at all costs. Would feel I have watsed the last three years even more if I was back to a five year loan again.

I have five :o credit cards atm. Only one has anything on it (the Halifax one). The reason I have kept them is that I was hoping one of them would offer me a good deal when the interest free period on the Halifax one runs out in August. I have been very sensible this year and have not used them at all, I reckon I am safe keeping them until Ausgus as I realise what a mess I am in so I won't be sticking stuff on them anymore.

I'm not sure about this, but AFAIK, the deals (especially the 0% ones) are generally only for new customers. If that is the case, you'd be better getting rid now.

Got a sec? Oh good. Come and help Herman sort out his finances.

Grab a beer, sit back and relax.

Got a sec? Oh good. Come and help Herman sort out his finances.