Using Credit Card to Pay for Car Payment...

nozzadamozza

Hi There

I was wondering if someone could offer me advice on what my best course of action should be.

Three years ago my hubby and I bought a new car from Peugoet and have been paying for it through one of their agreements which meant that after three years, we could either upgrade the car, return the car or pay of the outstanding amount (which will be about £3000). This is due in october and I was wondering should I utilise a credit card to pay this off. My idea was to put the remaining payment on my credit card (fortunately, I dont have any cc debt) and then getting a new credit card and transfer the balance to it, therefore having a bit longer to pay of the bill, without incurring any interest- dont want to have to pay the full amount out in one go- eeek!)

I was going to go through Quidco (the things I have learned on this site) and see which had the best 0% transfer offers and cashback if possible- does this seem like a good idea or are there any other ways that I could utilise my credit cards for this?

(apologies if I have put this in the wrong thread)

NickX

I think the problem here is that the car finance company are unlikely to accept Credit Cards.

However, you could get a card with SBT (Super Balance Transfer) facility which would allow you to transfer funds direct to your Bank Account from where you could settle the car finance. Unfortunately you won't get cashback this way.

Only a few rather special cards allow Super Balances Transfers. Thes include Egg, Egg Money, Post Office Card and any card administered by MBNA (including the Virgin range of cards).

In addition MINT periodically issue Credit Card Cheques that can be paid into a Bank Account at Balance Transfer rates. However this is the least satisfactory option becuase the cheques cannot be requested and, unless they are already in your possession, you don't know when they are going to drop through the letterbox.

standupguy

I think you will find that Finance companies do accept credit cards but will probably charge a fee on the amount repaid.

Give them a call and ask the question?