alliance and leicester cheque stoozing

consumers_revenge

Hi,

I've just got a new cc from A&L and it has 0% balance transfer till oct 2009 ( fee of 3% applies ). Now they've also sent me some CC cheques. My limit is £5000. Now can I use these to pay into my own account and stooze them? Does that mean I get the 0% and just pay minimum payments?

Now as a twist, I think in their T&C's there is a minimum repayment of £25 a month. Now that would eat into any profits I made from stoozing however I want to buy a sofa for £600 so really I would just be paying off that and the other £4400 I would be stoozing?

Have I got this correct?

YorkshireBoy

Firstly, don't bother with the cheques. Simply ring them and ask for a 'money transfer' (at 0%) directly into your current account.

Secondly, 10 x £25 payments (which represent an aggregate £125 less in the savings account over the year) are hardly going to eat into your profit too much!

consumers_revenge

£125?

how come its not £250 ( ie 25 x 10 )

New to this so please forgive if Im asking a numpty question.

YorkshireBoy

If you start the year with £4,000 in the stooz pot and end it with £3,750 the 'aggregate' balance (for interest calculation purposes) is roughly £3,875.

emma396

does money transfer carry a fee?

NickX

emma396 wrote: »

does money transfer carry a fee?

Yes the standard Balance Transfer fee, 3% in this case.

sicker

When you phone and ask for the transfer to be made try negotiating a lesser fee than 3%. I managed to get 2% last time I cleared my balance then got a new balance transfer. Mind you I have used them for a few years.

consumers_revenge

had a further look into this and i reckon I would only make about 28-40 quid, hardly worth it. or cant I add up?

YorkshireBoy

consumers_revenge wrote: »

had a further look into this and i reckon I would only make about 28-40 quid, hardly worth it. or cant I add up?

Over £80 according to http://www.stoozing.com/calc.htm

consumers_revenge

hmmmm i must be missing something as I still only get £26.64

I think its the 3% min interest repayment thats killing it!

YorkshireBoy

consumers_revenge wrote: »

hmmmm i must be missing something as I still only get £26.64

I think its the 3% min interest repayment thats killing it!

£4,150
0
12
3

Fixed
25
6.5
Basic (20%)

Calculate

£84.23