The Best Balance Transfers Article Discussion Area

Bryn_2

YorkshireBoy wrote:

Explained in this thread...

http://forums.moneysavingexpert.com/showthread.html?t=108138

Ace, thanks YB:-)

ICEHOCKEY44_2

ianfreeman wrote:

Capital One are now offering 18 months interest-free on balance transfers with two conditions - a 2% handling fee and you have to spend £100 on the card within the first three months of opening the account.

Obviosuly, they expect you not to stop at £100, but I can't find anything else negative about this deal...unless, of course, anyone here knows differently...

Ian

I too was thinking about getting this card. Was thinking along the lines of getting the card asap, buying some tyres for the car on it, paying this off, then transfering the balance.

The only thing I need to know, as I have never had one of these cards before, the debt is my other halves name, so would I be able to take the card out in my name, and transfer his balance onto it, or would the new card have to be the same name as the balance that is being transfered!

If you know anything about this that would help me that would be great.

Cheers

Donna

Moggles_2

Hi ICEHOCKEY44

Please bear in mind, the person whose card the balance is switched to, becomes soley liable for the debt. If you were to fall out, you couldn't ask Capital One to charge your partner for any remaining balance.

From the lender's perspective, it's not a problem. Capital One may ask you for the name on the card, but this is purely an additional verification check.

At the end of the day, the card company is after your business. They're not really interested in knowing who ran up the debt, as long as you, their customer, pay up on time each month!

ICEHOCKEY44_2

Thanks for that Moggles.

so am I getting this card right!

Apply for Card, Spend the money (over £100 in the first month, pay that off on first payment due day, new balance £0) Month 2 transfer balance, thus getting 17 months BT @ 0%.

If this is correct, when paying this off each month, can I do it on DD what I owe over the 17 months, or will they only accept the min payment by DD, and have to diret the bank for the remaining total?

I have read the small print, but this means nothing to me, unless it is real basic english!

Looking forward to having your help soon


Donna

Moggles_2

Apply for Card, Spend the money (over £100 in the first month, pay that off on first payment due day, new balance £0) Month 2 transfer balance, thus getting 17 months BT @ 0%.

Congratulations, Donna. You've got the right idea!

If this is correct, when paying this off each month, can I do it on DD what I owe over the 17 months, or will they only accept the min payment by DD, and have to diret the bank for the remaining total?

There are several payment methods printed on your C1 statement. Once you've settled the bill for your £100 retail purchases, I would set up a direct debit for the minimum payment required.

Brum_Man

Hello.

I was just wondering on what people opinions on what the best card is out of the HSBC/GE Money and Virgin card? I'm looking to do a balance transfer of around £750 and will clear the debt within 12 months so don't really need the faf of the Capital One card.

As far as I can tell the handling fee is 2% on the Virgin and HSBC card, and 2.5% on the GE money card, is that correct?

Any other catches etc that I should beware of?

Transfering from a Natwest card on which the 9 month period is coming to an end so no problems about transfering from affiliated companies.

Moggles_2

Hi Brum Man

IMO, uncapped balance transfer fees like these are best avoided unless the 0% promotion period is protracted as, for instance, the current Capital One deal.

In July I signed up with Bank of Ireland. The bank's Post Office card still offers 0% balance transfers with no handling charges for 6 months. What's more, unlike many of its competitors, the free balance transfers can be made for the entire 6 month introductory period. You get 0% on retail purchases for 6 months as well. For a straightforward, no-tricks deal, it's hard to beat IMO.

You may have to get a move on though. This deal has been on offer since the card launched last January. PO staff have warned that the terms & conditions will be rejigged next month. A capped 2.5% balance transfer fee is anticipated from 2 October 2006.

Brum_Man

Moggles wrote:

IMO, uncapped balance transfer fees like these are best avoided unless the 0% promotion period is protracted as, for instance, the current Capital One deal.

In July I signed up with Bank of Ireland. The bank's Post Office card still offers 0% balance transfers with no handling charges for 6 months. What's more, unlike many of its competitors, the free balance transfers can be made for the entire 6 month introductory period. You get 0% on retail purchases for 6 months as well. For a straightforward, no-tricks deal, it's hard to beat IMO.

You may have to get a move on though. This deal has been on offer since the card launched last January. PO staff have warned that the terms & conditions will be rejigged next month. A capped 2.5% balance transfer fee is anticipated from 2 October 2006.

The thing is though the Post Office card is that it has half the interest free period at 6 months, which to me doesn't sound like a particularly good deal. I won't be able to clear the debt in 6 months, which would mean at some point switching again, and most likely incurring a transfer fee at some point down the line.

As I've worked it out, 2% on £750 only works out the be £15, which TBH sounds like a bargain at the equivilant of £1.50 per month. I could see your point if I had a high balance as the uncapped amount would be much higher, but on £750 it seems very low.

I also don't really want to have the hassle (yes I know it only takes about 10 minutes to apply!), of changing again in 6 months, when I know that I'd be able to clear the balance on a 12 month card. I'm also one that's quite wary about credit searches, another reason for me want to get long interest free period so I don't have to tart around to much.

ICEHOCKEY44_2

Once again thanks for your help Moggles.

I have another question for you lot otu there?

Do you also get charged by the company that your current debt is with, if transferring the balance to another card? (I have a BarclayCard Visa)

Cheers

Donna

Brum_Man

No, as in effect all you doing is paying off the amount you owe them, it doesn't matter that the source is balance transfer from another credit card provider.