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New Job - How to Clear CC Balances?

I've been on a fairly low part time income over the past 3/4 years, my marriage broke down and I got the kids, which to be honest has been the making of me. But that's another story.

I'm a Dad BTW with four kids.

Anyway, over this period I've whacked up the credit card a bit in order to survive really and buy some time. I reckon I owe about 9k - always repaid the minimum payment and extra sometimes when I had the cash, never missed though and never got any charges.

Now the kids are older I've returned to my previous well-paid profession and boosted my monthly nett income by about three or four times.

So my priority now is too clear these cards. I can do it over six months or so, incurring the usual interest or I was thinking should I apply for a 0% balance transfer, 12 month period Credit Card and take full advantage of that?

Will I get one though having only just changed my employer? I don't particularly want another credit card, but I'm not the type to be tempted to use it, and I want to minimise any interest I pay, I think I've paid them enough!

Steve

Reply to
Steve
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I`d say it`s deffinately worth trying to get a single card with a limit big enough to transfer all the balances onto. Get it 0% for transfers, and pay off as much as possible each month. Then as you come to the end of the period, see if there is anything left to pay off. It sounds to me that if you are disciplined you`ll get it done before the deal runs out, and thus you`ll save a lot of interest.

But only do this if you are going to clear the balances!

Good luck!

Reply to
Simon Finnigan

Yes, sounds like a good idea, but be aware that most credit card companies now charge a 2% fee for balance transfers, though this will probably still be a huge saving over the typical credit card interest rates.

I think you basically have three options:

1) Apply for a 0% interest card with a long interest free period, but with a 2% balance transfer fee. 2) Apply for a low rate for lifetime of the transfered balance card. 3) Apply for a 0% balance transfer card with no fee but a shorter offer interest free period.

Given that you think you can pay off the balance in 6 months, maybe option 3 would be best, see:

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400177&mediaId!600438 Also have a look at:

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Another thing you could try - only pay the minimum balance on the interest free credit card and pay the rest into a high interest savings account, that way you will actually earn some interest.

If you do this you must make sure you are sufficiently organised and disciplined - most of the tricks are explained on

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Why not apply and see? You have nothing to loose apart from a few minutes of your time. It is quite possible that you won't get a high enough credit limit to transfer all 9k, but every little helps.

Gareth.

Reply to
Gareth

Check out this site and it's forums

also -

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Daytona

Reply to
Daytona

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