Mint start charging for BTs

Gotabiscuit

If you were thinking about applying for a Mint card, think again.

I've just spotted this on the Mint website:

Want to get MINT? You're in the right place. With us, you don't choose between a low interest rate and other attractive features. MINT has it all...

You'll get 0% on balance transfers AND purchases fixed until 1st September 2005, then an annual rate of 12.3% p.a. AND 0.5% Cashback on your purchases. - all we ask is a 2% handling fee for all balance transfers made on or before 31st March 2005. (Minimum £5, maximum £40).

Systemaddict_2

I am suprised. May be RBS Group is changing their policy (MINT part of RBS Group). At present RBS (incl Natwest) do not charge for BT.

Gotabiscuit

I've had a look at the summary box and there's no mention of a fee being charged on cheques so SBTs may be OK.

dthyer

https://www.apply4mint.co.uk/applyonline/secure/TermsAndConditions1.htm

includes in item 3:

For purchases (including 'Transfer & Save' †* and cheques)
Until 1st September 2005 0% (fixed) 0% (annual rate)
From 2nd September 2005 1.019% (variable) 12.9% APR

...

† For each ‘Transfer and Save’ and cheque transaction debited on or before 31st March 2005 we will charge you 2% of the transferred amount [Minimum charge is £5, maximum £40].

So maybe not so good for SBTing in the future?

DT

johnllew

They're all starting to do this. I blame MBNA for being the first to bring BT fees in.

thor

You're right about blaming MBNA. Watch the max fee start to rise as well so that it becomes uneconomic to do SBTs and even normal BTs to reduce legit card balances. Of course the card companies will be hoping that the general public will be too stupid to realise that they are being hoodwinked and they would be right(after all this is the country where people actually pay to drink bottled water when tap water is perfectly safe to consume or even pay a quid for a bottle of tap water as was the case with that coke offering last year).
I hope that I'm wrong and that these fees cause people to question their over-reliance on credit cards so causing the card vendors to regret their sneakyness but I'm not too optimistic.

deemy2004

Still £40 could still be workable if they give a good credit limit.

I.e. on £6k at 5% you would make about £225less £40 charge thats a profit of £185. So still worth while.

Charges seem enevitable.

Robert_Sterling_3

As soon as the 2%, or more, charge for BTs, not subject to any maximum amount, becomes universal then that will be the end of stoozing for me.

Martinslovechild

† For each ‘Transfer and Save’ and cheque transaction debited on or before 31st March 2005 we will charge you 2% of the transferred amount [Minimum charge is £5, maximum £40].

What happens, I wonder, if you did the transfer after 31st March 2005?

Milarky

Exactly what I thought, too. If you can transfer 'fee free' after 31st March you get a genuinely free SBT, but only for 5 months rather one at 2% [capped at £40] for 8 months.

So, you have to be able to borrow enough, to stooze  at a high enough rate, to make at least £40 in 2 months. Taking ING as a 'baseline' [5.0 AER] with a net monthly rate of 0.326%, that would require £6200 approx, I estimate.

So if you can't transfer this sort of amount initially, the advice would be to wait 3 months and just use the card to build up purchases in the meantime. Then BT for free thereafter.

[Have I missed something?]

dthyer

I wouldn't be surprised if they start offering a different deal from 1st April 2005. Whether it will be better or worse might depend on what competitors are doing by then.

DT