Is it time to switch your credit card debt to a loan?
As more and more people across the UK continue to try and repay their credit card debts many are seeing a month by month increase in minimum payments as interest rates remain high. However, there is concern that many are not taking advantage of the options available to them. As we mentioned in one of our earlier post, the average credit card purchase interest rate now stands at a staggering 18.1% compared to a base rate of 0.5%. Surely now is the time to consider converting your credit card debt into a standard fixed term loan?
The problem that many people in the UK have at the moment is the fact they would rather bury their head in the sand and hope everything recovers in due course, but unfortunately this will not happen. Those stuck in the credit card debt spiral are unable to pay off their interest which then increases their credit card debt, increases interest payments and reduces the amount of capital they are able to pay off each month. In effect, many people across the UK are seeing their credit card debt increase on a month by month basis despite the fact they are paying off as much as they can with no new spending.
As always, professional advice should be taken before you switch any of your assets or convert any of your debts into loans.
Share this..
Related stories
Glasgow shopping centre in distressed property sale
The Silverburn shopping Centre in Glasgow is up for sale in one of the most startling distressed property sales in the UK today. While we await official confirmation of the sale price and those interested in the property there are rumours that Bank of Scotland has effectively pulled the plug on the operation and decided to cut its losses. Bank of Scotland, part of the HBOS group, supplied the debt...
Read MoreWebchat Thursday 2pm: Student Finances with Alvin Hall
FinancialAdvice.co.uk is proud to present a live webchat with Alvin Hall this Thursday at 2pm. The webchat will take place here: www.financialadvice.co.uk/webchat.html. Alvin will be offering his expert advice to parents concerned about keeping their children's university budgets in the black.
The new university term really...
Did Gordon Brown's appearance on TV go down well?
Gordon Brown's appearance on the Piers Morgan show yesterday evening certainly cast the "iron Chancellor" in a very different light although his in-depth interview has attracted very different opinions from UK taxpayers, businesses and politicians. One issue which keeps coming to the fore is the fact that Gordon Brown has never mentioned his family in public although last night, under intense scru...
Read MoreWind power delay for UK government
Despite yesterday claiming that up to 50% of UK homes will have their electricity supply originating from wind power by 2020, the UK government has been forced to admit that this particular plan is ambitious to say the least. Aside from the fact that the 6,400 new wind farms, which will be located offshore, will take longer than first expected to arrive there is also the problem of transferring th...
Read MoreBritish Gas hit with £11.1 million fine
04/12/2014 British Gas has been fined £11.1 million by regulators Ofgem for failing to meet energy efficient targets on time. The energy supplier failed to meet deadlines to insulate homes under two energy efficient schemes that ran till the end of 2012. Although British Gas did manage to meet its targets, it missed the deadline meaning thousands of homes were left without insulation durin...
Read More