Credit Card Balance Transfer Discussion Area 2

Galstonian

can I make another transfer and keep paying 2.9% on both

It all depends on the Terms and Conditions of the offers - are they available to new customers only? Do BTs have to be completed within a certain period? Is there a limit to the balance at 2.9%? I'd suggest contacting Barclaycard and asking - in writing would be best since they have a habit of getting things wrong.

katerinababa

I've just applied for a MBNA cc over the phone. Firstly I was offered 6 months 0% on BT, so I said I'd think about it and fill in the application online. So then I was offered 9months, and again I said I'd do it online. Then came the clincher! The lovely man offered me 0% on BT for 12 months! I need to pay off a Cahoot Flexi Loan and this was just the way to do it, even though I will have to pay £35 for the pleasure of doing the Bt, it will save me hundreds of pounds!!!

drsteve

First thank you to Martin for an excellent book and great site.

I was about to cancel my Egg cards until I found out about Super Balance Transfers !

My question is this: ;D

Can you balance transfer from a card with no balance?

Since the transfer is really just a payment from one provider to another I was wondering whether you could potentially go into the black on a credit card.

I ask in relation to Mint's Transfer and Save cheques. I want to use the Mint card as a SBT route from my current account mortgage to my new credit cards that have 0% offers but which don't offer the SBT facility.

I need to know whether I have to wait for the cheque to clear and the balance to appear on my Mint card before I can transfer the balance to another card or whether I can do the balance transfer first (effectively producing a negative credit card balance on the Mint card) and then wait for the cheque to clear (returning the Mint balance to zero ready for the next transfer).

Net effect is to "shift" £10K @ 0% into my Current account where it earns nearly 6% by "tunnelling through" the Mint card.

I hope this makes sense.

Regards

Dr Steve

Galstonian

You can go in the black but should bear in mind it may be against the terms of the balance transfer; it may be flagged as money laundering; if the positive balance exceeds your credit limit you may need to do multiple transfers to get the money out again (because of flaws in some systems).

Where are you earning nearly 6% from a current account?

drsteve

Hi Galstonian

Offset mortgage - NatWest One account :-/

I should really have said saving 5.8% (after the recent Bank of England interest hike) in interest which is easily the same as over 6% equivalent as it's not taxed at 20% like savings would be.

0% credit cards combined with Current Account mortgages and SBTs really are the mut's nuts IMHO ;D

I know Martin doesn't rate offset mortgages over standard flexible mortgages but the flexibility to squirt money in and out of them freely via SBTs means that over the next 12 months my credit card companies are going to be giving me around £2000 - FREE !

Regards

Dr Steve

Galstonian

I don't know if it is so much that Martin doesn't rate them as much as a lot of people have got them and shouldn't have.

There is a formula on this site for calculating how much savings you need for it to be worth offsetting rather than going for discount rate.

I have just remortgaged to an offset so you won't hear me complaining about them

drsteve

BTW Going back to my original post.......

So you'd recommend doing it the "proper way" ie

Use a Mint Cheque to boost my Current Account, wait for the balance to appear against the mint card then do the standard card-to-card BT?

What actually constitutes money laundering anyway? ???

Cheers

Dr Steve

Boots_3

I am currently a Barclaycard holder with a balance of £0, but I have a debt on another credit card. Is there any reason why I shouldn't cancel my Barclaycard and re-apply for a new one. I would surely then qualify as a new customer and be able to take advantage of the 0% on balance transfers til 01/08/05. - This seems too simple to be correct!

P.S. Martin - Have learnt a lot from your slot on Radio 2 (Jeremy Vine show) very interesting!

Galstonian

@drsteve

I can't reccommend any particular course of action for you, its your choice. I know people who have put their cards massively into the black with no problems, others have not been so successful. Check the T&C thoroughly and make an informed decision.

@boots

you could try but you usually have to wait several months (6) to become "new" again.

bpyoung

I am currently a Barclaycard holder with a balance of £0, but I have a debt on another credit card. Is there any reason why I shouldn't cancel my Barclaycard and re-apply for a new one. I would surely then qualify as a new customer and be able to take advantage of the 0% on balance transfers til 01/08/05. - This seems too simple to be correct!

I think you usually have to wait a period of time (3-6 months) before you're classified as a new customer.