Ive heard ofa cost of living loan but I dont know anything about it.
2006-10-09 08:38:55 · 14 answers · asked by Frank 3 in Business & Finance ➔ Credit
You can get a consolidation loan, credit cards interest can be very high. Get one that has no penalty for early payoff. Loan will have a more reasonable interest rate, if you can pay a little more each month on the loan and it will be applied directly to the principal. This way you reduce total amount you pay over the life of the loan.
2006-10-09 08:50:13 · answer #1 · answered by Kainoa 5 · 0⤊ 0⤋
are you a student? Is that why you mention the cost of living loan? I think that's the only time you can get that kind of loan. However, I am of the firm believe that credit card debt is the WORST kind of debt a person can have. Finding a way to consildate you debt and pay it off quick is a good idea. A loan is a good idea, especially because most likely the interest rate on a loan will be lower than what you're paying on your credit card.
2006-10-09 08:49:21 · answer #2 · answered by natureutt78 4 · 0⤊ 0⤋
You should get a loan to pay of credit cards ONLY if the interest on the loan is less than the interest on the credit cards which it probably is AND more importantly you will not run up the credit cards again once you have all that available credit freed up.
2006-10-09 10:03:40 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Depends on the interest rate. If loan offers lower rate, then take the loan. Most loans don't have late fees so you will save there too.
When your done paying of the cards, get another loan to buy an investment, stock or something.
Good Luck
2006-10-09 08:42:56 · answer #4 · answered by Jeff W 3 · 0⤊ 0⤋
Yes.If you can get a loan to pay off your credit cards do so.Credit cards have very high percentage rates,and it will take forever to pay off.The best thing would be to pay them off in full.Then if you still want to use them.Pick the 2 that has the lowest rate.Cut the others in half,and mail them back to the credit card company.The 2 that you keep,use them only if you have to.I mean like in an emergency.
2006-10-09 08:47:09 · answer #5 · answered by George K 6 · 0⤊ 0⤋
You can get a loan to pay off your credit cards, but it will lower your credit score. If you do go through with it, just cut up your credit cards or get rid of them, so you don't double your debt by using them again.
2006-10-09 09:32:47 · answer #6 · answered by Aubrey's mommy 5 · 0⤊ 0⤋
try to find one credit card with a low interest rate on balance transfers. transfer all your debt to that and get rid of all the other credit cards. this will make your score go up, but only if you stop spending. don't take out a loan if you don't have to.
2006-10-09 08:40:49 · answer #7 · answered by ashley f 3 · 0⤊ 0⤋
It should work because you are paying only one interest rate with the loan.
2006-10-09 08:40:19 · answer #8 · answered by Jacks036 5 · 0⤊ 0⤋
You should go to Citizens advice bureau they'll tell you the best and most inexpensive way to sort out credit card bills!
2006-10-09 08:44:39 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Consult with some debit consolidation companies. They can set up a single monthly payment between all your cards and debtors to bring you debt relief faster.
2006-10-09 08:46:17 · answer #10 · answered by h_tidewell 4 · 0⤊ 0⤋