Any tricks for paying off large overdraft?

[flightattendant]

I never used to borrow at all but since a couple of years ago when DS1's father left, I have been overspending.

I reached the limit about a year ago (4.5 grand) and consolidated it into a loan, which I'm now paying off monthly.
They told me my overdraft would be reduced to 600, I kept to it and managed to accumulate a reasonable balance in my account over a few months. However then they told me (by accident) that I did still have the original limit, and since then it's spiralled again as though knowing I 'can' spend, has made me very reckless - I've also been pregnant till recently and have been buying baby stuff, but it isn't just that.

I'm near the limit again and cannot be sure if I could afford the loan payments if I consolidated again - so I'm resigned to paying off the overdraft at about 19%.

Is there another way, eg. getting a credit card and using that to pay the O/D off? Or is that impossible? I've never had a credit card and now I know why...can't trust myself!!

Thanks for any tips, am being very frugal as we speak ...I know if I'm careful and stop going on ebay I can gradually do it...I hope

flightattendant you could get a credit card (assuming you can get one), cut the card up as soon as you get it so you are not tempted to use it, pay off your overdraft with it, then set up a standing order from your bank for whatever you can afford each month going to your credit card company.

Don't just pay off the minimum on the card each month, as the minimum set by the credit card company goes down each month; set up a standing order for the same amount each month, as much as you can afford, to pay it off quicker.

Thankyou flowery...Can you actually use the card to pay off a loan/OD? Sorry I'm a bit thick here, someone told me that you can only use a card to pay for 'things' but not to pay a bank?

Please explain in words of one syllable exactly what I need to do

when you open up a new credit card account, many major credit card companies offer the ability to transfer a balance from elsewhere on to the new card, they usually offer a good rate for doing this, coupled with an administrative charge, usually a percentage of the balance.
Look at both the interest rate and the admin charge when comparing cards to go for.
You will give the bank details of the OD to the credit card company, sometimes on the application form or sometimes on the phone or online, and they will pay it off for you.
The fact you've not had one before might make it difficult to get a card. Your credit rating is improved if you have credit cards, use them regularly and pay them off.
Worth a go though, specially if you can find one with a good rate for balance transfers.
hope that makes sense!

Thankyou, yes, that makes it clearer

I'm grateful to you.

you could look at moneysupermarket.com for credit cards. You can look by who offers the best balance transfer option. Ie 0% for so many months, 2% fee etc.

If you decide to go the credit card route, make sure you calculate how much you will be saving by transferring and then offset it against the transfer fee. Some can be as high as 3% which may mean it isn't worth doing.

If you already have a consolidation loan, look at how much you are paying on that plus the interest each month on your overdraft. That gives you a rough idea how much you can afford in loan repayments each month. Then add to that the amount you can reasonably afford to pay each month to reduce the debt. You might be surprised and find that it is plenty to pay off a new consolidation loan.