Personal loan to clear graduate debt and credit card?
A reader from Winchester wants to clear his credit card debt and his graduate loan with a cheaper personal loan.
Jo Crosse, Halifax and Bank of Scotland personal loans expert, tackles the problem.
Richard from Winchester asks:
I'm looking to get a loan to clear my credit card bill and graduate loan.
If I apply for a personal loan, is it alright to use it for that? I've been in my job for a year now.
Jo replies:
Certainly, consolidating any existing borrowings into one payment is a great way to sort out your finances and save you money.
However, you will only save money if the interest rate on your new loan is lower than the rate you are being charged on your current borrowings.
It's also advisable to make sure that there are no specific fees for setting up your loan or repaying it early if you can.
If you have a question for Jo, go to the myfinances.co.uk Ask the Loans Expert section.
Or for more information on your loans options go to personal loans at Halifax.
Comments
Newsletter sign up