Stooze scenario

cronshd

Hi there.

Can you help with the following scenario? (Please forgive my basic questions - it's been a few months since I was into this).

The scenario is:

1. Egg Green card - Balance £0, Limit £15k (just completed anniversary)

2. Virgin - Balance £14k, Limit £15k - approaching the end of 9 months interest free

3. Co-op - Balance £0, Limit £10k - card just received. (7 months interest free BT)

Now I have 2 questions:

(1) What is the optimal strategy in this situation? (ie with respect to the Virgin balance). What are my options?

(2) What are the mechanics of executing the strategy?

Thanks in advance.

D.

YorkshireBoy

• Repay Virgin with £10K BT to Co-op, and £4K from the stooze pot.
• Wait a short while for Virgin statement to show nil balance and ring to cancel Virgin - you may get a repeat offer. If you do, route it through Egg. If not - close it.
• BT your 2% minimum payments on the Co-op card straight back to Egg each month - and on to the stooze pot.
• When Virgin is showing settled on your CRA report, apply for another card and route through Egg.

OK?

cronshd

Wow - thanks YB. I like your crisp and clear response.

The one point I'm not totally clear on, is this (maybe I'm a bit confused - just recovering from 'flu):

- BT your 2% minimum payments on the Co-op card straight back to Egg each month - and on to the stooze pot.

My questions are:

1. How do I set it up to do the minimum payments back to Egg?

2. (I'm probably being really thick here and got it the wrong way round) - is there the possibility to transfer the whole Co-op £10k back to Egg - and then to my bank account (=stooze pot)?

YorkshireBoy

cronshd wrote:

1. How do I set it up to do the minimum payments back to Egg?)

Not sure - I don't have a Co-op card, but it will either be online (preferable) or by telephoning them. But I do understand that it has unlimited fee-free BT's throughout the intro period. You've a choice really...Spend the value of the minimum payments (and save the amount in your stooze pot) or BT the value straight out to Egg.

cronshd wrote:

2. (I'm probably being really thick here and got it the wrong way round) - is there the possibility to transfer the whole Co-op £10k back to Egg - and then to my bank account (=stooze pot)?

Yes, but this would/may involve a very large +ve balance for a short while. However, you said your Virgin account was "approaching the end of 9 months interest free" - that's why I suggested paying it off with the Co-op card.