Newbie: Using a Credit Card for deposit on a flat??

KKevin_2

Hi there, Newbie here, so go easy on me

Im looking at Obtaining a credit Card for instance 0% interest for 9 months.

As i have an excellent credit rating etc,

Would it be possible if i took out a credit card, deposit say £5k in to an account at a bookmakers, then withdraw the £5k into my bank account after registering my bank card at the bookies

Therefore having enough for my deposit for my flat then pay off the £5k on the credit card over 9 months?

Cheers in advance!

smithysaver

I think some credit cards class bookmaker transactions as cash transactions, thus giving you a ridiculously high interest rate.

withnell

Bookmakers also have clauses about accounts being used as deposit accounts, and can charge you for it

KKevin_2

What would be the best way to use a credit card to transfer money into your bank account to use as a deposit for a flat and effectively use the amount borrowed as an interest free loan and then pay off the credit card over the period of the interest free offer e.g. 0% interest for first 9 months?

_Andy_

If you mean as a deposit for a purchase, no lender will accept that as a source.

smithysaver

Read martins article, about a plastic loans. You need to apply for an egg money card, and use this as a mule card, to get the cash to your bank account, by way of balance transfering.

nic_santorini

just be careful about cash advances - high interest rates as others have said. And if you have not got £5k in savings, then is it the right time to purchase a property. What if something in the house goes wrong, will you have the money to pay for it? Or will the debt just get bigger and bigger - difficult one really and could be very risky.

Eydon

Egg Money is closed to new applications - has been for a while now.

Your best bet is to get a card that allows Super Balance Transfers (SBT) - i.e. it allows you to pay off a fictional overdraft on your current account. The MBNA stable are ideal for this. Have a look at the Virgin card maybe - 16 months at 0%, but there is a fee (currently 2.98% I believe).

NickX

Just get an MBNA run card such as Virgin, Sony, Alliance & Leicester etc. They have SBT (Super Balance Transfer) capability and you can transfer funds from the card directly to your Bank Account. You can then pay your flat deposit from there. No problemo :cool:

NickX

Just to re-iterate do NOT use the card at a bookmakers. Gambling transactions are nearly always treated as Cash Advances. They will incur a fee straight away and interest will acrue from the date of the transaction at an inflated extortionate rate. Not adviseable unless you have money to burn.

smithysaver

Eydon wrote: »

Egg Money is closed to new applications - has been for a while now.

Your best bet is to get a card that allows Super Balance Transfers (SBT) - i.e. it allows you to pay off a fictional overdraft on your current account. The MBNA stable are ideal for this. Have a look at the Virgin card maybe - 16 months at 0%, but there is a fee (currently 2.98% I believe).

Lol just goes to show I havent been on for a while.