balance transfers

pennyocs

i have 2 cards one halifax 22% with £6000 on and a capital one card 26% with £300 on the thing is halifax have offered me a balance transfer rate of 8% so could i transfer the halifax over to capital one then straight back to halifax to take advantage of 8% rate. and would i be able to do it in 4 different transaction as limit on cp card is only £1600

jenkofreeze

BUMP

Interesting. I don't think this will work though because whatever amount you transfer away from the halifax card it will always be the cheapest loan apr first. In other words you'll be 8%ing back and forth four times if you try your plan.

Or did I miss something?

pennyocs

eventually though if i was able to transfer the whole £6000 it would all be at 8% rather than 22%.

YorkshireBoy

Won't work. Every time Capital One send money to Halifax it'll pay off the cheapest debt first, ie your 8% balance. See 'order of payments' in your Halifax T&C's.

Best bet is to ask Capital One to increase your limit to take the full Halifax balance in one go. Unikely to be agreed though, since it would need to be quadrupled?

clio

Pointless my post MR YB says it's a no go lol. soz like

pennyocs

thanks i never thought of that even though i know they always take off the lowest rate first.
will have to think again
thanks for your help anyway

Moggles_2

Have you considered applying for a new credit card?

To maximise the 0% period on BTs, 16 months is currently available to new customers from Virgin. There's a 2.98% handling charge.

http://uk.virginmoney.com/credit-card-v3/

Alternatively, you'd get 14 months with Tesco. A 2.9% BT fee applies.

http://www.tescofinance.com/personal/finance/finance/creditcards/bonuscc/index.jsp

Which deal's best depends, to some extent, on which credit cards - besides Cap One and Halifax - you have at the mo.

pennyocs

haven't got any other cards, i only got the capital one card hoping to transfer balance but they offered me a worse rate that i was already paying on halifax, but they did give me 0% on purchases until feb 2009 so thats why the £300 balance which will be paid in full this week.

will look at those other cards MOGGLES thanks.

Simon_Preston

You could try phoning Capital One and seeing if you get any offers on BT's once you've paid it off in full. If you say you want to close your account they may give a special rate to keep you. Then at least you could BT about £1600 of the Halifax card.