We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Applying for a credit card....

I'm looking to buy something for £3500

I have £1000 in savings

I am overdrawn by £500 at 0%

I am getting a family donation of £1000

I will then require a credit card for £1500

My question is, am I better off paying off my overdraft with my savings before applying for the credit card? Which will leave me needing to borrow more?

Or should I put my savings towards the purchase so I dont have to borrow as much on the card?

Or does it not matter either way?

Regards

Comments

  • geordie_ben
    geordie_ben Posts: 3,118 Forumite
    Tenth Anniversary
    just a sub note, the overdraft is actually two overdrafts of £250 each, should I get rid of them both?
  • td_007
    td_007 Posts: 1,212 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    How long do you have the 0% overdraft for?
    Put the entire purchase on a 0% purchase card for 12 months then you can continue to pay the min 3% or so for a year before having to clear off the balance.
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
  • 353.6K Banking & Borrowing
  • 254.2K Reduce Debt & Boost Income
  • 455.1K Spending & Discounts
  • 246.6K Work, Benefits & Business
  • 603K Mortgages, Homes & Bills
  • 178.1K Life & Family
  • 260.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K 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.