Credit card cash then transfer balance

aaronmcg_2

Hi folks , hope you can help, I have an alliance and liecester credit card that im thinking of taking out £2000 cash from it, then transfering the balance to a barclaycard platinium,it will give me a year to pay it, wat u guys think, im quite new to this so wana check with you guys first, thanks for ur help

CannyJock

Do you already have the Barclaycard Platinum in place?

Do your T&C's for the A&L card place any restrictions on cash withdrawals, such as maximum of 50% of your credit limit?

Is there a maximum amount that you can withdraw each day? If it will take more than one day, you realise that there is interest from day one?

Are there any fees for making a cash withdrawal?

Will repeated cash withdrawls on you card trigger anti-fraud precautions and put a block on your card that may take time to resolve?

Personally, I'd just go for a Virgin Money card, pay the 4% BT fee and transfer up to 95% of my credit limit directly to my current account. I'd then have 16 months to pay it back at effectively 3% APR. It would also mean that it would be reported to the credit reference agencies as a normal balance rather than a "cash advance". If you go down the Virgin Money route, be sure to setup a direct debit to repay the minimum and ask for your statement date to be changed to "yesterday" when you call to activate the card.

Bad_Weather

Why would you ask for the statement date to be changed to yesterday? Is this a trick or have i read the above to quickly and really its just common sense???

Sorry im new to all this aswell...

Moggles_2

Hezybaby wrote: »

Why would you ask for the statement date to be changed to yesterday?

To give Virgin and your bank time to set up the DD before your first statement is
printed

aaronmcg_2

so are you saying with the virgin money card i can transfer money from the credit card to my current account card. thanks

CannyJock

aaronmcg wrote: »

so are you saying with the virgin money card i can transfer money from the credit card to my current account card. thanks

Yup, that's right. For a 4% fee. But if you miss a payment or don't clear it before the 0% promotion ends then the interest rate can be fairly high.

On moving the statement date, it's to ensure the DD is setup in time and to extend the 16 months to nearly 17 months It's a trick that YorkshireBoy first posted about way, way back and has become part of his stoozers card-activation checklist.

Bad_Weather

Moggles wrote: »

To give Virgin and your bank time to set up the DD before your first statement is
printed

Genius!!! Well you learn something knew every day! :j

Moggles_2

aaronmcg wrote: »

So are you saying with the Virgin money card, I can transfer money from the credit card to my current account card?

Yes. A few rather special cards like Virgin will allow you to transfer an overdraft to them, (in other words, shift funds from the credit card to your current account), at balance transfer rates.

There's a 4% transfer fee, but new customers pay no other charges for the first 16 months.

If you decide to apply, I'd pay off any remaining balance on your Alliance & Leicester card first. This card's underwritten by the same bank as Virgin (MBNA), so a sizeable balance could affect the credit limit you're handed.

IMO, it's best to request your money transfer by phone (as opposed to online), so you can make certain the 0% interest rate will apply. You can do this when you call to activate your new card There's a dedicated, Freephone number

Virgin will allow you to transfer up to 95% of your credit limit. The money arrives in your bank account in about 6 days