Credit Card trouble

[Aodhán]

Hi.

I owe €2900 on my Mastercard and I'm paying 14% or 15% interest from this month. For the past 6 months it has been interest free.

I've just finished my postgrad and I do not have a job yet, although I am applying every day etc. I'm currently getting €820 per month in social welfare, and have been getting around €300 more on top of that from substitute teaching. I have no rent or food costs as I live at home with my parents. I don't drink or smoke either. My repayments on my graduate loan are €450pm, and I have not missed a payment since they started two years ago.

On top of this, I can commit to paying €200 pm off my credit card. However, I will not be able to pay the above interest rate on the credit card balance at the moment so I'm looking for an alternative method of finance to clear that €2900 asap before this interest rate kicks in this month.

Bank of Ireland/Mastercard said they could not give me another 6 month interest free period as I have just had one. Given my situation as outlined above what, therefore, are my alternatives?

Much appreciated.

 

[Guest128]

Can you move the credit card debt to another bank? I think some offer 0% on balance transfer and 6 months interest free....

 

[so-crates]

Logically the way to get the interest down is to transfer the balance if you can to another card provider to avail of their free interest period on balance transfers. If that is not available, the next best option would be to investigate a loan for the outstanding amount, the interest rate would be lower. You may find it difficult to obtain a loan for that amount given that you are not currently employed but it is certainly worth enquiring. Even if the rate was 10% instead of 14-15% it would be cheaper. Have you any savings in a CU? If you did you could try them for a loan.

 

[suemoo1]

definitely go with the credit union option and clear it if you can