Can anyone help me?

Cottage

I'm an 18 year old college student doing my A-levels, and running a car. I have a part time job but it is cash in hand! The only other thing that I think goes towards credit rating is my DD for my phone bill (I have only missed one payment in 2 and a half years!).

My years car insurance runs out in sept and it was mentioned to me that I could pay the insurance in a lump sum on a credit card and then pay no interest on that sum if I pay it within a year! Is this possible? And how do I go about getting the right credit card?

If anyone could help me, I'd be really grateful as I am a little lost at the mo!

Thanks x

epsilondraconis

See the section titled "The longest 0% purchases card for new customers" from the link below:

http://www.moneysavingexpert.com/cards/lowest-interest-credit-cards

Edit: As your credit rating is unlikely to be 'excellent' at the moment, you should probably consider the Halifax 0% on purchases for 10 months.

Effectively what you'll be doing is slow stoozing. See:

http://www.stoozing.com/

Cottage

Wow! Your so quick and helpful, thank you!

So paying for my car insurance count as a purchase?
How do I know what my credit rating would be? and how can I make it better?
Is there anything else I should know?

http://www.halifax.co.uk/creditcards/allinone_ros.asp Is this the right one?

Cottage

Ok have applied for Halifax and been accepted but with only a £500 overdraft, I will be needing a sum of around £750 in total. Attemted to apply for Capital One (was worth a try) and BarclayCard but you have to be 21 for those! Are there any other cards that may accept me being 18 that have a longish no interest term?

jonesMUFCforever

Can't you pay monthly anyway for the insurance using your normal account?

dhassen

Cottage, I'd guess that you don't have much of a credit history (from what you've said) and it's unlikley you'll get anything better than what Halifax. I assume you meant a £500 credit limit, not overdraft, as it's a credit card you're on about. You're a bit too young and don't have enough credit history for the best cards at the moment IMO. Your credit score / rating will improve by paying your CC bill on time and never missing or being late with payments. The idea to pay off your insurance with a lump sum on 0% is a good idea in theory, but you'll need to make sure you pay off the entire balance before the interest kicks in for there to be any point in doing it. The interest insurers apply doen't seem to make massive amounts of difference for me in the grand scheme of things.