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Paying Stamp Duty with Credit Card

Hi

I just wondered if anyone knew if I could pay duty by credit card? I have a 0% card for 20months and could with chucking the £9K on to there for 20 months.

Would the credit card company treat it as a new purchase?
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Comments

  • googler
    googler Posts: 16,103
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    The available payment methods are detailed at HMRC

    http://www.hmrc.gov.uk/payinghmrc/stampduty.htm

    And paying by CC isn't one of them....
  • Contessa
    Contessa Posts: 1,127
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    Until I read the OP's post I would never have considered a using a CC. But, I believe it's possible to pay one's self-assessment tax using a CC (although a charge is made). I wonder why one is allowed but not the other?
  • Whoever gets paid by credit card takes a small percentage hit whihc gioes to the credit card company and therefore doesn't het the full amount. So can't imagine HMRC being happy with that and your solicitor certinaly wouldn't want to lose say 2% of say £9,000 - £180 loss on his conveyancing charges for the convenience of you paying that way.
    RICHARD WEBSTER

    As a retired conveyancing solicitor I believe the information given in the post to be useful assuming any properties concerned are in England/Wales but I accept no liability for it.
  • ognum
    ognum Posts: 4,835
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    Not sure why you are asking the question then?
  • A lot of credit card companies see HMRC payments as cash advances rather than purchases, so although you can physically pay on the card, the amount would not be included on your 0% for PURCHASES, and would probably be charged interest at a stupidly high rate.

    check with the card provider.
  • thequant
    thequant Posts: 1,220 Forumite
    A lot of credit card companies see HMRC payments as cash advances rather than purchases, so although you can physically pay on the card, the amount would not be included on your 0% for PURCHASES, and would probably be charged interest at a stupidly high rate.

    check with the card provider.

    If it is treated as a cash advance which I suspect it is, doing such a large cash "withdrawal" will almost certainly totally obliterate your credit rating.

    I took £200 out on my CC once, and struggled credit wise for a year. Even my own bank refused to lend to me, on enquiring why it was causing so many problem, i was told that the "automated" systems see cash advances on CC's as a "sure" sign of financial distress.

    God knows what sort of damage a an advance of this size would do.
  • kingstreet
    kingstreet Posts: 38,691
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    If you need a mortgage, you are likely to find the lender insists that the solicitor acting for it obtains cleared funds for the deposit and stamp duty in advance of completion.

    That would prevent payment of stamp duty by any other means.
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
  • cramg
    cramg Posts: 88 Forumite
    Why not pay the estate agents fees and solicitors fees on the credit card, freeing up some of the proceeds to cover stamp duty? Just a thought
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