M
monk
Guest
Unfortunately, I've managed to run up a bit of debt on the credit cards - approx 5000 - and both of these cards have now passed the 6-month intro rates. Normally I don't leave balances on the cards but the car insurance/tax and a Sept holiday hit the cards. I'm looking for the most efficient way of clearing this debt at lowest cost. I will be able to clear this in approx. 7-8 months.
My thoughts are to get one of the UB Zinc cards (or a 0% balance transfer card, but I believe the UB card will automatically have a limit above 5k others mightn't - currently have MBNA & BOI Master) and transfer the balances onto it. Should get the bulk of the balance down within the 6 month period so pay minimal interest. The other option is to get a bank loan (I am not in a credit union anymore) for 5k and try to get the term under 1 yr. I don't know if BOI will allow this, as per 'best buys' the terms were longer for this amount. Haven't got a bank loan in about 7 years(since my first car, good old rust bucket Micra which never gave me any problems) but they do send me out letters every now and then pre-approving me, I've just never studied the details.
Why I'm thinking about is if it will affect my applying for a mortgage. I currently have approval in principal but that was with no 5k loans or cc's balances and I don't want the approval amount to be reduced down as its stretching my house hunting enough..
My thoughts are to get one of the UB Zinc cards (or a 0% balance transfer card, but I believe the UB card will automatically have a limit above 5k others mightn't - currently have MBNA & BOI Master) and transfer the balances onto it. Should get the bulk of the balance down within the 6 month period so pay minimal interest. The other option is to get a bank loan (I am not in a credit union anymore) for 5k and try to get the term under 1 yr. I don't know if BOI will allow this, as per 'best buys' the terms were longer for this amount. Haven't got a bank loan in about 7 years(since my first car, good old rust bucket Micra which never gave me any problems) but they do send me out letters every now and then pre-approving me, I've just never studied the details.
Why I'm thinking about is if it will affect my applying for a mortgage. I currently have approval in principal but that was with no 5k loans or cc's balances and I don't want the approval amount to be reduced down as its stretching my house hunting enough..