Norcy91
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Registered: 15th Sep 08
User status: Offline
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Right then, i've only got a small amount of my loan left to pay off, but not small enough to just pay off at once.
Would i be able to pay this off on a 0% credit card? If so, would it be classed as a purchase or a balance transfer? I don't have a clue about this sort of stuff 
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fred7
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Registered: 17th May 04
Location: Rugeley, Staffordshire
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When i looked into this with halifax credit card and tesco loan they said its balance transfer. Martin lewis is your best place for this. They will say whats your best option
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Daniel_Corsa
Premium Member
Registered: 21st Apr 04
Location: Wigton, Cumbria
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Guessing would need a settlement figure as of your last direct debit.
Pay that in full either by cash, cheque, card.
April '06' Corsasport Feature Car  | Aug '08' Total Vauxhall Feature Car | Spring '09' Fast Car Feature Car
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taylorboosh
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Registered: 3rd Apr 07
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you cant afford it tbh, or your car... living beyond your means imo
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Norcy91
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Registered: 15th Sep 08
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I can easily afford it thanks! Cue the "biting" comments...
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timmsy21
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Registered: 31st May 12
Location: Eastbourne, East Sussex
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If you can afford not to do a balance transfer then i'd just give the loan company a call and pay as much as you can possibly over 2 or 3 payments if you have to!
Pays off your loan and saves getting credit card.
However on the flip side of that if you can get a 1-2 years interest free CC on balance transfers with a big enough allowance to cover your loan and your confident you can pay it off before the interest free is up then go for it! just be careful not to fall into the trap of having more 'available money'
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Norcy91
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Registered: 15th Sep 08
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It's basically just to get rid of the rest of my loan so I can take out a new one with my bank, the existing loan will be paid off in full after a couple of weeks. Basically so I can avoid getting car finance so the interest rate is nearly double a personal loan from my bank
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Fro
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Registered: 20th Jun 06
Location: Rainham, Essex Drives: A3 2.0TDi Sport
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quote:
Originally posted by timmsy21
If you can afford not to do a balance transfer then i'd just give the loan company a call and pay as much as you can possibly over 2 or 3 payments if you have to!
Some won't let you alter the payments, you either continue to pay as normal or clear it in full.
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timmsy21
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Registered: 31st May 12
Location: Eastbourne, East Sussex
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quote:
Originally posted by Fro
Some won't let you alter the payments, you either continue to pay as normal or clear it in full.
Fair enough, guess it depends who the loan is with, worth a go though rather than getting more credit to clear a loan, been there, done that and never a good idea!
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Fro
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Registered: 20th Jun 06
Location: Rainham, Essex Drives: A3 2.0TDi Sport
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Definitely agree.
If the above is a no go, I would wait the couple of weeks to clear the loan in full, as you will usually be charged an initial fee to balance transfer(a % of the total).
As the 0% on balance transfer usually just covers the interest it would accrue.
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Norcy91
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Registered: 15th Sep 08
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4% fee to do the balance transfer, that's still cheaper than the interest I'd be paying on the rest of the loan!
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Kippers
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Registered: 27th Dec 10
Location: By the sea, Kent Drives: A nee naw
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Just did a Halifax one for 22 month balance transfer and got limit of 7250.
Spending spree for the micra turbo me thinks!
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Cavey
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Registered: 11th Nov 02
Location: Derby
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quote:
Originally posted by Norcy91
It's basically just to get rid of the rest of my loan so I can take out a new one with my bank, the existing loan will be paid off in full after a couple of weeks. Basically so I can avoid getting car finance so the interest rate is nearly double a personal loan from my bank
Would they not extend your loan to the new amount you want to borrow? Or do you want to finish it or a shit percentage and get a new one at lower?
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Norcy91
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Registered: 15th Sep 08
User status: Offline
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quote:
Originally posted by Cavey
quote:
Originally posted by Norcy91
It's basically just to get rid of the rest of my loan so I can take out a new one with my bank, the existing loan will be paid off in full after a couple of weeks. Basically so I can avoid getting car finance so the interest rate is nearly double a personal loan from my bank
Would they not extend your loan to the new amount you want to borrow? Or do you want to finish it or a shit percentage and get a new one at lower?
The latter basically, it was originally a small loan, so got a standard 16.9%APR  Borrowing over £7000 so i get the 6.2% currently offered. Also can't extend it because i haven't have the loan for 12 months yet.
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Eck
Premium Member
Registered: 17th Apr 06
Location: Lundin Links, Fife
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When you extend a loan, it is actually a new loan and will have a new percentage, with enough to pay off the last one and give you the amount of credit you desire. But being within12 months that's completely useless anyway I would take the credit card out, and just pay it off before the interest rate is applied. Would boost your credit score too!
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Norcy91
Member
Registered: 15th Sep 08
User status: Offline
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Yeah I might just do that and pay it off interest free over 20 months and get the Type R I mentioned in the other thread (all being well with the car!). Seems a more sensible idea than getting myself into even more debt when I should be trying to save really
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