Credit Card Balance Transfer Discussion Area 2

mary

How to max out your credit card - a little assistance please

Husband has First Direct £6K (repay £180 p.m.)
Egg £6K (repay £120 p.m.)

Me Egg £4K (repay £80 p.m.)
First Direct £1.8K (repay £50 p.m.)
Halifax £900 (repay £20 p.m.)

Husband is using his cards to reduce the interest on a loan. Mine is pure profit in Cahoot!

We're now in to our 2nd/3rd month of repayments, which are not a problem, but how do we keep topping up the cards to max limit because as each month goes by the amount outstanding reduces? Do we have to buy our groceries on the cards or should we be transferring amounts from one card to another to get the maximum benefit?

Unbelievable_2

How to max out your credit card - a little assistance please

I have been giving this some thought my self lately - and (assuming your husband has transferred all of his loan to his cards already) I would use your Egg cards to pile as much back into savings as you can.

The only drawback I can see is that transfers are usually £100 minimum - I'd probably do hubby's First Direct to your Egg,then SBT both Egg balances every month, BT your First Direct every other month and make purchases on your Halifax (assuming it's 0% for BTs and purchases) - but I'm sure there's a more MSE way of doing it - I'm just lazy!

Have fun ;D

Beegal

I wish to transfer my balance and received an invitation yesterday to apply for a Tesco credit card - 3.9% on Balance Transfer until paid and 0% on purchases until August '05 - this sounded like a very good deal to me, does anybody have any advice?

mary

"I'd probably do hubby's First Direct to your Egg, then SBT both Egg balances every month, BT your First Direct every other month"

I've just rung First Direct (very friendly staff) and I'm told you are you not allowed to transfer between husband's CC and your own?

You can either scoop back the minimum monthly payments by doing a "free" transfer to a different credit card from the one on which you made your original balance transfer, or else do a visa transfer into a cheque/current account which is called a "cash line" which happens overnight and is charged at 1.75%, min £2.

I think my plan instead will be to spend on the First Direct CC up to the limit of the monthly minimum payment, like the Halifax, you suggested.

Unbelievable_2

mary

This is a good example of a little knowledge is a dangerous thing 'cos I have to admit that I don't know anything about the First Direct card - is it interest free on balance transfers and purchases?

As people wiser than me have said in other places on this forum - always check the T & Cs, it can be quite costly not to.

mary

mary

This is a good example of a little knowledge is a dangerous thing 'cos I have to admit that I don't know anything about the First Direct card - is it interest free on balance transfers and purchases?

Hi Unbelievable,

Yes I've checked the initial letter from First Direct which states "the special rate (0%) is effective from the moment you make the transfer and applies to all purchases as well as the transferred balance."

Meanwhille I've rung a nice guy at Egg, who reassured me that you can transfer from Egg as many times as you want into your current account during the 0% period. So you can keep returning the minimum monthly repayment figure provided it's over £100.

Husband can do the same, so it looks as though Egg is sorted, First Direct we'll spend on housekeeping and Halifax is hardly in the league of big givers to worry too much about!

Thanks for your ideas.

Smitty

Just thought of somethig else Mary (although Im making a few assumptions)...

Instead of your money sitting in Cahoot earning 5.65% interest that you will pay tax on (depending on your circumstances), why not let your husband have it sitting against his loan (on which i guess the interest rate is higher than 5.65%) and let him give you your interest payments at his loan interest rate which he can give you exempt of tax 8)

kirbs_2

Hi
My question relates to life of balance transfers.
I am currently insolvent due to a failed business i owned in 2000. Im due to end the agreement next year.

Obviously my credit rating is non existant, however as my agreement is due to end i have been applying for various 0% cards curious of a reply and to my surprise, being accepted,
I currently have a Mint Gold, Barc Plat, and my most recent being Egg, i have been juggling the balances around as the 0% expires and this was my intention until the balances were clear.

I am in the Navy and am going to be away for most of next year and wont have the luxury of juggling credit cards for the next best 0%, due to my circumstances.

My intention is to apply for a life of balance transfer and transfer the balance of my 3 cards to 1 at the lowest rate of interest, paying the balance until cleared.
I have applied to Capital one, Texaco and Barclays, without luck.
Barclays, however have offered me mastercard as an option as due to being an existing cardholder thay are unable to transfer me to visa. They have offered me 2.9% for the life of the balance with an up front fee of 2%.
I am reluctant to use Barclays as they were my main borrower when i set up the business in the first place and although i am paying an arranged fee through my agreement, Barclays never made a request for payment through the arrangement.

Could you please advise, obviously other options i am toying with are

1. re-mortgage as i have a substantial amount of equity,

2. paying off each card separate

For ease i would rather transfer the balance to a low rate of interest and pay it off whilst i am away.

Regards

K

tight_as_a_ducks

Could anyone help. I,m new to this tarting game but have successfully transfered £12000 (over three cards) in to my offset mortgage. The problem now is how do i keep this going next year when the 0% runs out.
If anyone knows please give step by step account.
thanks from a tight yorkshireman.

Reaper

... have successfully transfered £12000 (over three cards) in to my offset mortgage. The problem now is how do i keep this going next year when the 0% runs out.

You've done the hard part (getting the money from the credit cards into a savings account), the easy part is keeping it going. Several weeks before the interest free periods run out apply for more credit cards offering 0% balance transfers. Then just do a balance transfer between the new and old cards such that the old ones are fully paid off. You have finished with the old ones then and can cancel them if you wish.

The mechanism is exactly the same as you have already done, except now you are moving the money between cards instead of between cards and your savings.