Is it really cheaper to balance transfer
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p00
Posts: 824 Forumite
in Credit cards
Barcalycard have offered me to transfer £10k @ 6.9% and said that on the assumption that it was over 5 years , although I could pay it off a lot quicker if I want, the interest ended up £3319.89.
This is a lot more than a loan from say Tesco at a higher rate of interest but generates interest of £2065 over 5 years.
So how can this be so if the interest rates look better from Barclaycard?
This is a lot more than a loan from say Tesco at a higher rate of interest but generates interest of £2065 over 5 years.
So how can this be so if the interest rates look better from Barclaycard?
0
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If you borrow 10,000 at 6.9% APR over 5 years and pay equal amounts each month then the monthly payments would be about 197 and you would pay about 1,800 in interest0

oh thats odd as they quoted me last night at £225 per month and said that would mean £3319 interest to term.
Your calculation is much more interesting and worthwhile in that case
xx0 

Balance transfer fee plus interest on that might push it over0

no transfer fee for longer terms loans as such.
isnt there always 2 % figures when you look at loans so could it be that one is 6.9 but the other one (is it apr?) 12.9% so a bit misleading?
Ill give them another ring
xp000 
rang them again and now they can only give me the 1st months figur which is a payment of 2.5% ie £250 plus an interest payment of £55.33 which then reduces each time you pay some off.
Far too confusing and cheaper to get a proper loan by the looks of it.
thanks anyway
xxp000
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