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maryjoe · 24-05-2012, 19:45

Hoping for some advice on the best way to pay my 3,000 on my CC.

I was approved a loan from my bank, to pay back my CC by monthly repayments, where I pay interest. I now have 14 days cooling off period. So I need to make sure I am choosing the right option. It is variable.

They are in the process of issuing me a new CC with new limit of 600. As I will need credit card for emergencies.

I don't have savings with Credit Union, so if I was to go through them, it would be awhile before I receive loan, although I'm sure cheaper.

Or am I going about this in a very expensive way with bank?

Anyone suggestions for me please?

coylemj · 24-05-2012, 20:39

I assume what you mean is that you are taking out a loan in order to pay off all of the 3,000 balance on the CC?

A term loan from one of the main retail banks or your local credit union will be at a far lower rate of interest than what a CC company will charge you so it sounds like you are going about it the right way.

Don't wait for the credit union to give you the money, the loan from the bank will be cheaper than the CC rate, that's all that matters. Make sure that the bank loan is at a variable rate of interest, that way you will be able to repay the outstanding balance early if the credit union gives you a loan at a lower rate but I doubt if the credit union will be much lower, they have problems with bad debts as well so aren't as competitive as they used to be.

Just make sure that you don't start any bad habits with the new CC!

24-05-2012, 19:45	#1
maryjoe Registered User Join Date: Nov 2011 Location: Mayo Posts: 68 Adverts \| Friends	credit card Hoping for some advice on the best way to pay my 3,000 on my CC. I was approved a loan from my bank, to pay back my CC by monthly repayments, where I pay interest. I now have 14 days cooling off period. So I need to make sure I am choosing the right option. It is variable. They are in the process of issuing me a new CC with new limit of 600. As I will need credit card for emergencies. I don't have savings with Credit Union, so if I was to go through them, it would be awhile before I receive loan, although I'm sure cheaper. Or am I going about this in a very expensive way with bank? Anyone suggestions for me please? Last edited by maryjoe; 24-05-2012 at 22:56.

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24-05-2012, 20:39	#2
coylemj Registered User Join Date: Oct 2006 Location: Dublin Posts: 9,213 Adverts \| Friends	I assume what you mean is that you are taking out a loan in order to pay off all of the 3,000 balance on the CC? A term loan from one of the main retail banks or your local credit union will be at a far lower rate of interest than what a CC company will charge you so it sounds like you are going about it the right way. Don't wait for the credit union to give you the money, the loan from the bank will be cheaper than the CC rate, that's all that matters. Make sure that the bank loan is at a variable rate of interest, that way you will be able to repay the outstanding balance early if the credit union gives you a loan at a lower rate but I doubt if the credit union will be much lower, they have problems with bad debts as well so aren't as competitive as they used to be. Just make sure that you don't start any bad habits with the new CC!