Minimise the impact of Christmas debt

Like many others this year, you may be faced with the need to borrow to fund the expensive Christmas season. If you are borrowing be careful to plan and calculate the most efficient way to achieve the borrowing required without leaving yourself in the red for 2012.

If you are looking to fund Christmas and are borrowing less than £1500 it is probably best to avoid loans and opt for a 0% credit card. That way you can borrow the money needed and pay it back over 6 months therefore clearing the debt before the initial 0% rate runs out. It's worth comparing short term payday loans, unsecured loans and credit cards. The % rate charged on loans and payday loans will likely be significantly more than the 0% you can achieve on some of the incentivised credit card deals out there.

If however you have other debts and are considering a full tidy up exercise then a consolidation loan me be a better long term solution. That way you can roll up your existing debt and the borrowing required for Christmas into one payment. Please be aware that doing this may increase the overall interest that you pay so a lower monthly cost could result in higher overall borrowing and interest payments. It may still be the best option but just be aware of this.

If you would like some quotes to compare while we still have time then please get in touch just now.

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Disclaimer: Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. Loanz.co.uk are licenced credit brokers with licence number 584328 issued by the Office of Fair Trading. Loanz.co.uk is a trading style of CML Web Services Ltd. Registered in Scotland. No: SC291366

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