Should I pay off CC?

[Morgan12]

Recently got a bank loan and can't decide if I should pay off my credit card in full or do a balance transfer to a 0% card.

There is a balance of approx £1300, I pay £50 a month and around £35 of that is interest charges.

Not a clue what would be best to do here. Any advice?

Either pay it off or transfer it to 0% you definitely don't want to be paying interest on it!

I would transfer to the 0% card but be sure to factor in the transfer fee. Probably won’t be much. Also be sure you can pay it off in the interest free period.

Generally you should pay off whichever debt is costing you the most interest.
Have a look at the money saving expert website for good advice on managing debt.

What is the bank loan for?

What did you apply for the loan for?

If you want to be debt free then I don't really understand the logic

We got the loan for some home improvements but I was now thinking I should pay off this credit card with some of it then I'll only have the loan payment each month and this would be the only debt we have aswell.

I’d transfer it to 0% and if you have the funds left after the home improvements pay it down or off.

Can you afford the work on the house and paying off the card?

Pay off the card. Otherwise you’ll spend the loan and still have the card debt. If you need a bit extra for the work on the house, get a 0% interest CC and only put what you need on it.

Actually I've just doubled checked that amount owed and it's only £900 which was a pleasant surprise.

Probably best just to pay this off and that's it gone.

Thanks for the advice.

Pay off the cc unless you are 100% sure you’ll pay off the cc before the 0% ends. Otherwise you’ll end up with the bank loan AND the cc.

What APR is the credit card?
What size bank loan have you taken out and what APR?
How much money each month can you pay towards debts, could you pay for example £250 a month?

Yes pay the cc off and then use what’s left for home improvements.

Cut the CC up and put it in the bin!

Do a balance transfer

Generally you want to avoid new debt and pay off existing as fast as possible, so paying off the card will make most sense from the viewpoint of how quickly can you become debt free.