Loan balance transfer to CC. Preparation advice please :o)

Katy_M_2

Hello all

I hope I’m not repeating threads here as I do try to research similar queries before posting!

I have an HSBC loan with fixed APR of 15.9%.

I want to transfer the balance to a CC so that a) I am not paying interest and b) can pay more of the balance off as and when I can afford it

Currently have:

Egg Card – don’t use but am keeping as handy for current account transfers

Cap1 Card – Very small limit, high APR. Using to purchase monthly groceries, paying off each month in a bid to improve credit rating.

Barclaycard Platinum – Limit of £2630. Used as a balance transfer and for some emergency purchases. Barclaycard seem to like me. (not sure if this is because I bank with Barclays, have insurance with Barclays and have had Barclay Credit Card previously)

My loan settlement figure will be £4800 or less (as the months go by) so I am trying to slowly improve my credit rating in the hope that I will be able to obtain an MBNA credit card with an high enough limit to cover the loan balance transfer.

So, getting to the point, do I……

Reduce my ‘available credit’ as much as I can by; Cancelling Egg Card and slowly reducing the limit of my Barclaycard as it gets paid off

OR

Do I leave my Barclaycard Limit at £2630 so that my ‘percentage of available credit used’ stays as low as possible….then rather than apply to MBNA - flutter my eyelids at Barclaycard and try and get them to increase my limit to cover the amount and ask them to extend/renew my 0% Balance Transfer offer.

I’m not sure what the best approach is and don’t want to set myself up for a fall. Of course, I may never get offered a credit card limit for 5K plus so I may be wasting my time hoping!

All comments appreciated
Kind regards
Katy