Transfer overdraft to credit card?

After finding the fab 'Credit Card Shuffle Planning Table' on MSE, I decided to have an overhaul of my debts. My current overdraft is a whopping 29.6% APR and I have the credit limit available to transfer it to an existing credit card currently at 13.9% APR. Great I thought, until I was told the only way I could transfer an overdraft to a credit card was with a 'special promotional cheque' sent by the credit card company. Now, I have received many of these cheques over the years and discarded them (thinking I would never need them!). I thought about withdrawing cash on my credit card and paying it into my bank account (to reduce the overdraft), but that would also attract a whopping 24.9% APR.

Any suggestions, you clever people out there? :D
«1

Comments

  • As far as I know MBNA and Alliance-Leicester allow to transfer money from credit card into current account for 3%. You could get 0% for 9 to 12 months. Alliance-Leicester are part of MBNA.
  • Idiophreak
    Idiophreak Posts: 12,024 Forumite
    10,000 Posts Combo Breaker
    Also check the deals on the virgin card - they're normally pretty good.
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    you can of course simply use the CC and incur debt at 13.9% and let the OD run down so saving 29.6%.
    However, you really need to get a plan together to clear the total debt permanently.
  • madbunny
    madbunny Posts: 69 Forumite
    Hi, I think this applies to me - I'm wanting to get a card to put my overdraft on to stop paying interest to the bank - but this all sound so complicated! In simple terms for me please (sorry!) ?

    thanks
  • Idiophreak
    Idiophreak Posts: 12,024 Forumite
    10,000 Posts Combo Breaker
    madbunny wrote: »
    Hi, I think this applies to me - I'm wanting to get a card to put my overdraft on to stop paying interest to the bank - but this all sound so complicated! In simple terms for me please (sorry!) ?

    thanks

    Really isn't hard. I've got a virgin card, I called them up and said "I'd like to transfer X amount to my current account please". And that was that.
  • Thanks all. Sounds like only certain banks / credit card providers allow the transfer (Natwest & Sainsburys said no). Didn't want to get into the game of applying for a new card, but sounds like that's my only option!

    :confused:
  • Miller_3
    Miller_3 Posts: 12 Forumite
    My advise is:

    Why have you got such a big overdraft in the first place.:confused:

    You must have been over spending to run up such a big overdraft.

    The only way to stop it getting bigger is to

    STOP SPENDING and make more of an effort to reduce your DEBT

    Thanks Clever Person
    SuzeQish wrote: »
    After finding the fab 'Credit Card Shuffle Planning Table' on MSE, I decided to have an overhaul of my debts. My current overdraft is a whopping 29.6% APR and I have the credit limit available to transfer it to an existing credit card currently at 13.9% APR. Great I thought, until I was told the only way I could transfer an overdraft to a credit card was with a 'special promotional cheque' sent by the credit card company. Now, I have received many of these cheques over the years and discarded them (thinking I would never need them!). I thought about withdrawing cash on my credit card and paying it into my bank account (to reduce the overdraft), but that would also attract a whopping 24.9% APR.

    Any suggestions, you clever people out there? :D
    :rolleyes: Miller
  • dylanuk
    dylanuk Posts: 516 Forumite
    Virgin credit card is definitely the best for current account transfers, it offers the longest 0% period of all the MBNA cards.

    There's some info here on moving 0% to a current account: http://www.credit-card-comparison-online.co.uk/faq/0-balance-transfer/transfer-to-current-account.html - say which cards do it and how you can, etc...

    Certainly DON'T withdraw cash to do it, you won't get 13.9% this way, more nearer what you're already paying on your overdraft + fees.
  • dhassen
    dhassen Posts: 759 Forumite
    Definitive answer for who allows Super Balance Transfer (transfer to bank account) is here: http://www.stoozing.com/sbt.php

    If you get one and transfer the balance, ring up the bank to remove the overdraft facility and never spend on the new credit card.
    Official DFW Nerd Club - Member no. 784 - Proud to be dealing with my debts
  • I was thinking about doing this myself. All you do is get a 0% virgin card, ask them to do a balance transfer into your bank account. Then just cancel your overdraft.

    When i phoned up to enquire, i was informed that i could only transfer £1800 into my bank account (which was easily sufficient) because i had only just had the credit card. The longer you're a customer, and the more you pay them, the more they trust you with and you can then do bigger balance transfers.

    So why havn't i done this? I just don't like the idea of having 2 credit cards.
    DFD: 21st June 2012
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.3K Banking & Borrowing
  • 252.9K Reduce Debt & Boost Income
  • 453.2K Spending & Discounts
  • 243.3K Work, Benefits & Business
  • 597.8K Mortgages, Homes & Bills
  • 176.6K Life & Family
  • 256.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.