Hi All,
Just wondering if anyone can tell me the best route to go.
I currently have a CU loan of approximately €4,200 @ 9.6% pa (& 27% rebate on interest paid so net cost of approx 7% I think), and right now, my CU savings is approximately the same as the loan.
I also have a CC bill of €3,400 approximately @ 13.9% pa (due to apt purchase & wedding in last 3 months of 2005).
Would it make more sense to pay off the CU loan with savings, leaving me with no savings, but able to concentrate on paying CC bill more effectively?
If I continue paying off my loan at the current rates (approx €90/wk), I should have it completed by the end of the year, I can still afford to pay approx €60/wk to the credit card, and with bonuses etc, I should also have it repaid by year end.
I would appreciate some advice.
Pia
Just wondering if anyone can tell me the best route to go.
I currently have a CU loan of approximately €4,200 @ 9.6% pa (& 27% rebate on interest paid so net cost of approx 7% I think), and right now, my CU savings is approximately the same as the loan.
I also have a CC bill of €3,400 approximately @ 13.9% pa (due to apt purchase & wedding in last 3 months of 2005).
Would it make more sense to pay off the CU loan with savings, leaving me with no savings, but able to concentrate on paying CC bill more effectively?
If I continue paying off my loan at the current rates (approx €90/wk), I should have it completed by the end of the year, I can still afford to pay approx €60/wk to the credit card, and with bonuses etc, I should also have it repaid by year end.
I would appreciate some advice.
Pia