MSE news: Virgin launches fee-free 0% balance transfer credit card

KILOCHARLIE

Any wrote: »

I earn more then you and got less then you... definitely a lot to do with my already existing available limits across my other cards...

not sniffing at it either!:rotfl:

Wow, didn't expect that.

I've just got 2 credit cards, the egg one which i don't use much (no idea on limit) plus one I use as a day to day thing which has 5.5k limit and is paid off in full every month. I worked up to this limit but gradually asking for increases over a number of years but to be honest I would gladly reduce it to 1k if it meant higher limits on other new applications.

Is there anything i could do to achieve this?

CannyJock

KILOCHARLIE wrote: »

Wow, didn't expect that.

I've just got 2 credit cards, the egg one which i don't use much (no idea on limit) plus one I use as a day to day thing which has 5.5k limit and is paid off in full every month. I worked up to this limit but gradually asking for increases over a number of years but to be honest I would gladly reduce it to 1k if it meant higher limits on other new applications.

Is there anything i could do to achieve this?

No guarantees, but I would look at doing this without reducing the limit on the card.

I'd start using the Egg card for your normal spend (assuming credit limit allows, recommendation for limit on normal purchase card cleared each month is 2 x monthly spend) and clear the balance on the other one - if it's the Egg Money card then you'll also earn 1% cashback

If it's higher limits on other new applications you're going for, I'd cancel your purchase card with the £5.5k limit, wait for it to be updated as Settled with the CRA's then put in a fresh application.

Like I say, no guarantee, and the risk is that you cancel the £5.5k card and then can't get a limit like this on another card. But, unless you're actually using the £5.5k facility then you're not getting much benefit from it.

It's also worth looking at other posts to see what sort of limits people have had on other cards as some lenders are known to be more generous than others.

EDIT: Before applying for more credit, it's best to have a plan for what to do with it - like your 0% fee Virgin card. If you've already got an Egg Money card then you can get the money into a bank account or an ISA very easily

dov

CannyJock wrote: »

I'd start using the Egg card for your normal spend (assuming credit limit allows, recommendation for limit on normal purchase card cleared each month is 2 x monthly spend) and clear the balance on the other one - if it's the Egg Money card then you'll also earn 1% cashback

Minor point. You can increase your effective credit limit by paying off some debt mid month or even creating a positive balance. I have done this before in order to get 3% cashback for family health insurance which was way above the credit limit. This was using the old capital one card which offered 3% for first 3 months. The following year I did the same for the standard 1% cashback. (Sadly the card is not available to new customers.)

KILOCHARLIE

thanks guys. should have made myself clearer though. the card with the 5.5k limit is always paid off in full every month. I don't use anywhere near that limit though as I only use it for petrol and minor stuff like that.

I guess it makes real sense to cancel it then? How long does it take to appear settled?

I might even reapply for the same card after that too as despite not using the limit on it, its nice and easy as its with the same people as my current account.

oh and yes, fully aware about the egg money bt thingy! thanks though!!

CannyJock

KILOCHARLIE wrote: »

the card with the 5.5k limit is always paid off in full every month. I don't use anywhere near that limit though as I only use it for petrol and minor stuff like that.

I guess it makes real sense to cancel it then? How long does it take to appear settled?

If you start using your Egg card and let the 5.5k limit one sit with a nil balance and unused for a couple of months, you could then try and call them to see if they will make you an offer to stay with them? Again, this is more likely with some than with others.

I did this with Natwest card and got a 9 months 0% with 0% fee offer to stay with them

IME can take up to 2 months (though some people have reported longer) to show as settled on your credit report.

And you should also check if you need to wait a period of time before reapplying with the same provider (again, depends who it's with, varies between "immediate" to "12 months").

td_007

socrates wrote: »

there are a number of staff at Virgin who are not aware of all its benefits - specifically the 0% handling charge for all balance/money transfers.

If this happens what you need to do is call this number

0800 783 1116

Thanks...worked like a charm

td_007

td_007 wrote: »

For those still waiting to hear back from Virgin - I have received an email today that the card, PIN etc will be with me in the next 7-10days. I had applied on Monday - lets see what limit I get....A good way to being the weekend

UPDATE: Received PIN yesterday, card today - 9K limit :beer:
Application to card in hand - 10 days....fantastic

Paulgonnabedebtfree

I got the letter day declining my application - something about my current credit levels compared to my current income. I wasn't actually after increasing my debt levels but just looking for a way of making some of it cheaper. Can't say as I blame them though. My situation looks worse on paper than it actually is due to my constant, gradual increase in income (self-employed) and the way I have (and continue to) slash my spending.
I note that they used the term "credit level" rather than "debt level" - which may indicate that they are more bothered about my available credit than my actual debts.
I do have a fair bit of unused credit. Although it makes sense for most people to close down such accounts, my van is getting to an age where the maintenance could start costing a lot more. As I have no back-up funds, I keep some credit free.

CannyJock

Paulgonnabedebtfree wrote: »

I got the letter day declining my application - something about my current credit levels compared to my current income. I wasn't actually after increasing my debt levels but just looking for a way of making some of it cheaper. Can't say as I blame them though. My situation looks worse on paper than it actually is due to my constant, gradual increase in income (self-employed) and the way I have (and continue to) slash my spending.
I note that they used the term "credit level" rather than "debt level" - which may indicate that they are more bothered about my available credit than my actual debts.
I do have a fair bit of unused credit. Although it makes sense for most people to close down such accounts, my van is getting to an age where the maintenance could start costing a lot more. As I have no back-up funds, I keep some credit free.

Have you started putting together your appeal letter? Will only cost you the price of a stamp, they won't do another search (especially if you tell them not to), and the worse that can happen is they say "no thank you" twice? Will give you the chance to put in writing to an underwriter the detail that they didn't ask on an application form.