0% CC for a 10K Car Purchase?

port7

I am about to buy a car for around 10K'ish.

Wondering what peoples thoughts are on using one of the 0% cards for this? What is the average credit limit? My thoughts are I just pay of as much as I can quickly, and move cards as the 0% offer runs out.

Or would I be better just looking for a regular personal loan with a good rate and flexible payment terms?

Need_More_Money_2

Garage will probably charge you a handling fee to pay that amount by credit card

gazza975526570

what credit limit you get will depend upon your individual circumstances and credit history.

IF this is your first cc i would suggest it unlikelyy you would get a £10k limit if you already have a good credit history and a decent wage its possible

Backbiter

I did this 3 years ago. Paid for a £10k car using 3 different cards (dealer had no probs with it) while I looked around for the best loan deal. My dad suggested doing a BT onto a 0% card and saving a packet in interest, so I applied for an Egg card, got a big limit, and have been 'tarting' ever since. Have saved the expected packet, but a few words of caution:

1. You've got to be very organised - miss a payment deadline and you'll lose your 0% deal. Forget your deal is coming to an end and you'll be clobbered for interest.

2. BT fees are now the norm - around 2%. Make sure you go for a capped fee.

3. Egg's anniversary deal (0% for 5 months) meant I didn't have to keep applying for a new card each time, but could switch fee-free back to Egg. They now charge 2.5% uncapped.

4. Regularly applying for new deals can affect your credit rating so you might get turned down eventually. You might also be offered a credit limit that's too low to switch the balance to, leaving you with a problem. If your rejection comes late in the day you'll have no time to apply for an alternative card and you'll get stung for interest on the old expired deal.

5. It's very tempting just to pay the minimum, which means your loan will take much longer to pay off even though you're avoiding interest.

6. When you get accepted for a new card with a decent credit limit, it's tempting to transfer another balance to take advantage of the 0%. I did this when I bought a new PC - over 18 months later that's still outstanding on top of the original car loan, which means it'll be a few more years till that's paid off, by which time i'll probably need a new one.