Over pay mortgage using 0% CC

DaveHemmerman

Hi, i have just recieved my Mint SBT CC and was wondering if it would be worth while over paying on my mortgage for perhaps say 4 months, (i am with Nationwide which allow £500 P/m) then i was thinking of paying back the £2000 over 12 months at £166 P/m but am i right in thinking that as i have paid and extra £2k of this in the long run would say me quite a bit in interest if i were to continue doing this and perhaps over pay by a few more months thus reducing interest???

Just at thought really hope someone could help me.

Thanks in advance.

Reaper

Yes it is worth it. However a few points....

* It is best to do overpayments on mortgages which let you take overpaid money back out again. That makes it easy to repay the credit card at the end of the 0% period. If yours does not then you need to be cautious.
* Why pay off the Mint card a bit each month? Better to put that £166 in a savings account for a year and pay off the card off in one go just before the 0% period runs out. That way you earn some interest too.
* I think your Mint card has a £50 BT fee, but it should still be worth it.

jezza1O1

and make the most of it, current analyst thought is that CC companies will be charging annual fees from next year thanks to all the people abusing the system in this way. Ah well, you're alright Jack...

DaveHemmerman

Yeah is does have the BT fee, but like you say well worth it. The reason i have just got the Mint card was as i had a flexible loan with cahoot but the have increased the rate to 8.5% when i took it out originally at 5.8% i think and am getting charge around £40 p/m interest, so thought it time to change and get it at 0% i only have a £5000 loan. I have got a Platinum Card which i think allows a £15k limit, was thinking of paying loan off which i was currently paying £250 p/m and then a further £166 which would be mortgage. I also have £800 which i can put into my ISA to fill upto £3k and also i could put about £2.5k into girlfriends to fill hers. Do you reckon its worth doing all of the above.

Hope it makes sense?

I have been watching the site for a few months and learnt quite a lot so thought it was time i got involved.

Thanks

Robert_Sterling_3

"Yeah is does have the BT fee, but like you say well worth it."
It impacts the profit you would hope to make by stoozing.

"The reason i have just got the Mint card was as i had a flexible loan with cahoot but the have increased the rate to 8.5% when i took it out originally at 5.8% i think and am getting charge around £40 p/m interest, so thought it time to change and get it at 0% i only have a £5000 loan."

It is a good idea to have the MINT card anyway even without these additional considerations.

Your Cahoot loan appears to have started at £5000 capital.
The interest at 5.8% would mean initially that the interest was just under £25 per month. However that amount should be reducing each month.
At 5.8% it would be about £35 per month and decreasing.

I guess you would save more money by reducing your cahoot loan than by overpaying your mortgage and also it would be better to reduce your cahoot loan rather than put money in an ISA either for yourself or for the gf.

Summary: REDUCE the Cahoot loan whilst at the same time have regard to what you will do when the MINT 0% period ends.

DaveHemmerman

My Cahoot loan was originally £9k but have is now £5400 or so. I have just read the paperwork which came with Mint card this morning and it says they have only given me £2550 limit, but they allowed me to have the Platinum card as i think you had to earn £20k p/a which i do. I also have a Halifax one card @ 0% for another 10 months or so which is empty at the minute. This is were i start to get lost with it all, i know that i should be getting rid of Cahoot loan first that would free me up £250 a month straight away.

Is there a way i can use my Mint card and One car topay my Cahoot off and stick it on 0% as my One card is £6000 limit??

Do you get all this? All monies will be paid of before 0% deals finish on my cards. Dont mind paying SBT fee as in long run its cheaper.

Thanks