Advice on balance transfer

Astraeus

At present, I have £600 outstanding on a Halifax card and I have £0 outstanding on my Virgin card. I have 0% on BT on the Virgin card until August 2009 so I assume I am best of switching the balance across from the Halifax card now (on which I am paying 15.9%) and leaving the balance on the Virgin card.

However, is it worth me taking the extra £400 of my credit limit and paying it into a current account in order to earn interest? Would it be possible to put it into my Icesave savings account which pays interest monthly and recoup ten/eleven months of interest before having to pay off the Virgin card?

Thanks!

Ben1982

have you got a £1K limit with Virgin? if so you won't be able to transfer all of it.
I normally leave a bit of a gap with allowing for the 95% and the fee, so you could transfer around £920 in total.

But yes you could pay off the £600 off your Halifax, and put £320 in a savings account, however using the stoozing calculator on stoozing.com, you will make a loss of 55p (as you wouldn't have recouped enough of the fee in interest), so not worth it unless you put it to work in other ways

Astraeus

Thanks. Alternatively, had I might as well take £300 of cash out of the Halifax CC and then transfer the £900 balance across - that gives me a £300 interest-fee cash loan (minus the 3% charge levied by Virgin for BT) which solves my cash-flow issues for the next month or two?