Egg Money or Egg Card as mule?

Rockula

I'm looking to apply for a Santander Zero card and stooze the amount they offer me using their "0% fee on balance transfers for current account holders". I also need to apply for a card to act as mule, but have not been able to work out whether the Egg Money or the Egg Card is the better option.

As I understand it, both cards allow positive balances to be held and (fee free?) transfers into a bank account (I would be transferring directly into an Egg savings account) - can anyone confirm if this is correct, and if so, any thoughts on which would be the better card to apply for? Thanks.

lightbulb2760

Only the Egg Money card can be used as a mule card. You'll need to open an Egg Savings account as well, so that you can transfer a positive Egg Money balance free of charge to Egg Savings, then, if need be, transfer that on to its final destination. Be careful when making a transfer of a positive balance from Egg Money that you don't end up with a negative balance: if you do, it'll be treated as a cash advance, and you'll be charged interest without an interest-free period.

The Egg Card (as opposed to Egg Money) cannot be used as a mule card as it does not allow a positive balance.

jonnyenglish

lightbulb2760 wrote: »

Only the Egg Money card can be used as a mule card. You'll need to open an Egg Savings account as well, so that you can transfer a positive Egg Money balance free of charge to Egg Savings, then, if need be, transfer that on to its final destination. Be careful when making a transfer of a positive balance from Egg Money that you don't end up with a negative balance: if you do, it'll be treated as a cash advance, and you'll be charged interest without an interest-free period.

The Egg Card (as opposed to Egg Money) cannot be used as a mule card as it does not allow a positive balance.

Is there now a requirement to open an Egg savings account to use the Egg Money card successfully as a mule card if the final destination is not the Egg savings account?

My understanding from what I have read in other threads discussing this credit card is that once the Egg Money card carries a positive balance a simple secure message to Egg Money Admin requesting a transfer to the final destination would suffice. Do the new terms and conditions stipulate that a savings account must be used in the process now?

CannyJock

jonnyenglish wrote: »

Is there now a requirement to open an Egg savings account to use the Egg Money card successfully as a mule card if the final destination is not the Egg savings account?

My understanding from what I have read in other threads discussing this credit card is that once the Egg Money card carries a positive balance a simple secure message to Egg Money Admin requesting a transfer to the final destination would suffice. Do the new terms and conditions stipulate that a savings account must be used in the process now?

Nope, no need for Egg savings account - purely optional.

Newest Egg savings account will give you 2.5% on new money to Egg - so if you did transfer money from Egg Money to Egg Savings, it'll only be at 0.5%

You can transfer a positive balance to your own current account - just send a secure message like you say. Just transferred Ulster repeat stooze to my bank this way.

lightbulb2760

CannyJock wrote: »

Nope, no need for Egg savings account - purely optional.

Newest Egg savings account will give you 2.5% on new money to Egg - so if you did transfer money from Egg Money to Egg Savings, it'll only be at 0.5%

Thanks for pointing this out, CannyJock; I should have made this clear.

Could you clarify your point about the 0.5% rate? The current T&Cs for Egg Savings define new money as follows:

"New Money" means any money not held in any Egg Savings Account (Internet) or any Egg Savings Account (Investor) opened prior to the Introductory Offer Period.

In other words, if you were to open a second Egg Savings Account (in order to benefit from a new introductory bonus rate, for example) and were to transfer money from the old account to the new, this would not count as "new money" according to the above definition. As far as I understand it, the above condition only applies to Egg Savings Accounts, not Egg Money. So transfers from a non-Egg account to Egg Money, then from Egg Money to Egg Savings would still count as "new money", and would therefore still benefit from the full 2.5% rate. And, of course, an additional 1% cashback, subject to clawback...

Is my understanding correct, or have I missed something?

CannyJock

lightbulb2760 wrote: »

Is my understanding correct, or have I missed something?

Could be right. I asked Egg about this before and got a secure message stating it had to be new money to Egg, so I've went on the broader definiton that any transfers between products isn't new money. If EM->ES does count as new money then so much the better.

dov

I was told by Egg that EM -> ES does count as new money.

This would follow the T&C as quoted by lightbulb2760.

I stoozed my virgin money BT this way.

lightbulb2760

dov wrote: »

I was told by Egg that EM -> ES does count as new money.

This would follow the T&C as quoted by lightbulb2760.

I stoozed my virgin money BT this way.

Thanks for confirming this, Dov. I stoozed my Virgin Money £4000 BT in Egg Savings (at 3.25%) too.:)