If I have a credit card debt of 3700.00 dollars, would it be a good idea to take out a loan to pay it off ?
2007-01-09 00:28:23 · 8 answers · asked by vik 3 in Business & Finance ➔ Credit
It depends on the interest rate. A good place to get a low interest rate loan is www.prosper.com . Check it out and Good Luck!
2007-01-09 00:33:31 · answer #1 · answered by steffers4979 4 · 0⤊ 0⤋
Yes, get a low interest fixed rate. I did know one person that kept transferring their credit card balance from one card to another when they were offering a no interest for a certain period and right before that was up, transferred again to another the same, however you must have very good credit to pull this off. Then you can get away with paying no interest. But the safe way is to pay double on the card each month or get a low interest fixed rate loan.
2007-01-09 10:16:49 · answer #2 · answered by Dolly 5 · 0⤊ 0⤋
Yes, if you can get the loan at a lower interest rate. A credit card is basically a revolving loan anyway with a 40-year term if you make the minimum payment each month.
2007-01-09 00:32:52 · answer #3 · answered by Kokopelli 7 · 0⤊ 0⤋
Getting a lower interest rate loan to pay off your credit only works if you also stop accumulating debt on your credit card; otherwise you'll be stuck with 2 debts to pay off.
2007-01-09 00:38:08 · answer #4 · answered by theanswerer 2 · 0⤊ 0⤋
that depends on the interest rate, I would say it is better for you to get a loan and pay it off that way because making minimum payments on a credit card can take a very long time to pay them off because you are barely paying the interest, although, if you can afford to double or triple your minimum payments then you dont need to get a loan because you will be paying it off a lot quicker
2007-01-09 00:38:59 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Enter your credit card balance and interest rate. Then enter the monthly payment you can afford, OR your deadline to be debt-free. Leave the other window blank. Click calculate to get the results.
2007-01-09 18:22:39 · answer #6 · answered by brady ewart 3 · 0⤊ 0⤋
Yes. Lower interst rate and you'll pay it off faster. I recomend getting rid of credit cards too.
2007-01-09 00:45:35 · answer #7 · answered by R W 6 · 0⤊ 0⤋
any time because the loan intersest are any time cheaper than your card acc but again the problem is once again if you start spending too much you will have dept at both loan aswell as card acc. it is always good to plan
2007-01-09 02:10:51 · answer #8 · answered by jayan 1 · 0⤊ 0⤋