Credit Card Balance Transfer Discussion Area 2

Callyanna

As a newbie moneysaver i would like to pick the brains of all you old hands out there! ;D

My circumstances are

I currently have no mortgage, loans or debts
I pay off my Goldfish Mastercard in full every month.. current balance £270
I have a mini cash ISA with Cheltenham & Gloucester..used £1,750 of my £3,000 allowance so far this year

I have a savings account with Abbey e saver paying 4.35% AER

I have just been given a MBNA Platinum Plus Credit card with a limit of £8,500 with 9 months 0% interest

I have read all Martin's info on SBTs and would like some advice on how I could best use this money to my advantage...I know I have a lot to learn but am eager to make up for all the years I've lost making money!

Thanks in advance for any help or suggestions

Vanessa

Sorry to be so green, but what does SBT stand for?

I am guessing BT is balance transfer

david78

Hi Vanessa,

BT is Balance Transfer

S is Super.

Martin Lewis coined the term "Super Balance Transfer Card" to mean a card where a Balance transfer was allowed from a current account rather than another credit card.

Vanessa

Many thanks david78

I've just applied for an Egg card, instead of Virgin. As the Egg allows SBT from current account, I take it I can ask them to transfer a balance from my current account up to the credit limit they give me?

Does that mean that even if I am in the black in my current account, if I ask for this SBT they will credit my current account with up to my agreed credit limit, and then charge me nothing for the duration of the 9 month 0% introductory period?

Unbelievable_2

Hi y'all

Has anyone actually done a Virgin transfer and been charged for it? If so where does the charge appear? I have just received my Virgin card and have done a BT and an SBT - no sign of any fees charged. Is there a nasty surprise waiting for me? ???

t_i_g_e_rr

Egg give you free money with no charges for the promotional period. You can transfer your entire balance. I did this a few weeks ago. It's easy to do on the internet. ;D

I have read on this website that MBNA don't charge for SBT's during the promotional 0% period when that period is less than 12 months. I don't know how true this is but I'm trying it at the moment on the 9 month deal with free phone. I don't know about cards from other companies by MBNA.

T_i_g_e_rr

moana

Vanesa, when I did my egg SBT they transferred cash no problem, no charge.
It was only for a six month period IIRC but I get another five months of SBT from egg on the first and second anniversaries of the day I opened the account.

I'll ring MBNA on Monday and ask them about charges and post the answer from them.

sicker

Callyanna, If I were in your position I would transfer all my mbna credit limit to my current account. From there I would transfer it to my on-line Alliance & Leicester saving account paying 5.1%. I would then pay of the mbna balance at there minimum monthly payment of £5.
When the 0% balance transfer ran out I would draw the amount required to clear the mbna card from my saving account leaving the interest. I would not touch the money required to pay of mbna for any reason so that I did not get myself into uncovered debt.

Best regards

John

david78

Does that mean that even if I am in the black in my current account, if I ask for this SBT they will credit my current account with up to my agreed credit limit, and then charge me nothing for the duration of the 9 month 0% introductory period?

Yes Vanessa. You can do this when you are "in the black". When you come to do the transfer you will find that Egg allow you to BT from an Overdraft Or a Current Account. You only need to supply your sort code and your account number. This is the only tricky bit checking and double checking you have the number right.

Milarky

Egg allow you to BT from an Overdraft Or a Current Account. You only need to supply your sort code and your account number. This is the only tricky bit checking and double checking you have the number right.

So I'm not the only one to have 'sweaty fingers' over Egg's D-I-Y balance transfers  :o

That said, has anyone actuallly tried to BT direct to a savings account, instead of via a current account, from Egg? (I have paid from there in to my temporary cahoot 'loan' successfully, which had the same sort code and account number format). There may be restrictions in place on which accounts are permitted, but short of trying a small BT to cahoot savings, is there any way of kinowing?