Pay a loan with a credit card.

Jessiepig

How can you pay a loan off with a credit card. i have a cahoot loan which i want to lose and a Lloyds tsb credit card with £15,000 limit.
I am going to ask LTSB what is the best transfer for life apr that they can give me first, but if I cannot pay the loan with it then there is no point.
Any help welcomed

MCBIRNIE25

Hi Jessie, you can ask for a cheque to use with the credit card and then use that?

CLAPTON

a bit complicated but you can do this:

open a EGG money credit card...they are designed to have either a positive or negative balance

do a balance transfer between the EGG money card and your LSTD so that your LSTD has a negative balance of 15,000 and your EGG Money card has a positive balance of 15,000

transfer you egg balance to your current a/c (no fee)

pay your loan off with the money in your current account.

hostie

be very careful that you will be able to pay off the credit card balance before the good rate expires or you will be in a worse situation than you are now.

Jessiepig

Thanks for your help. I will only do this if the ltsb rate is very good for a baance for life transfer.

Jessiepig

Well contacted credit card today but not only was their life of balance 7.9% but there was a 2% fee with no upper limit and then finally they wont balance transfer for a loan.
So all in all a complete waste of time. Will have to consider other options.