The Best Balance Transfers article discussion area

micktsb

Yesterday, 11:07 AM #18
moni72
NotSoNewbie MoneySaver



Join Date: Sep 2005
Location: Scotland
Post Count: 30
Thanked 3 Times in 3 Posts Capital One 18 months 0% - Good deal?

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I think this is an excellent deal but wanted to run it by some more experienced money savers to make sure??!!!

Capital One have sent a mail shot to me offering 18 months 0% on balance transfers when I spend £100 on purchases within the first 3 months of opening the account. There's also a 2% handling fee.

I realise this means I will pay interest on the £100 for the 18 months at their rate of 15.9% per annum variable on purchases.

I am transferring £6500 so I think that means i'll pay £130 fee plus £36.57 per year in interest (15.9% x £230 - £100 in purchases and £130 fee). Is that right?

Any advice would be greatly appreciated!


hi moni72,with regard to the £100 that you have to spend on the card to get this offer just use a little patience,I.E. spend the £100 then when the bill comes in at the end of the month pay the balance off and then check that it has been paid before doing the baance transfer best of luck micktsb.And no, before any of you sarcastics make comment about my handle i dont work for a bank but i am in the process of doing one of the same name for several thousand in bank charges!!!!

TCM_Junkie

Hi,
Reviewing the FAQ section for the M&S &more card (since it looks a good deal for stable relationship debt shifting), I noticed the following:

10. I‘ve got several outstanding credit card balances – can I transfer them to my &MORE Credit Card?
You can transfer balances from other credit cards and store cards FEE FREE at a special rate of 3.9% p.a. fixed for the life of the balance, however long it takes to clear. Transfers must be made within 6 months from date of account opening - typical 16.9% APR variable.

Am I missing something obvious here? If its "3.9% p.a. fixed for the life of the balance", where does the "typical 16.9% APR variable" come into it? There's no mention here about the 16.9% applying to anything else, so I'm confused!
Thanks

Moggles_2

Hi TCM_Junkie

Welcome to MSE & the credit card board!

You can transfer balances from other credit cards & store cards at the special introductory rate of 3.9% p.a. fixed for the life of the balance, however long it takes to clear.

The balance transfers must be made within 6 months from the date of account opening to qualify for this special fixed rate.

Balance transfers made after the first 6 months will be charged at the typical rate of 16.9% APR. This is a variable rate and could be changed up or down at any time.

TCM_Junkie

Thanks Moggles - you're a star!

MikeF_3

Hi, my first post here.

I tried to complete the online application for an MBNA card so that I can transfer my store card balance as per Martin's suggestion. However, the application procedure does not have the option to transfer store cards, only other credit cards. Does this mean that I cannot transfer a store card balance to this card - which seems to give the best deal at the moment? If not, can you suggest another 0% card that will do it please.
Thanks

micktsb

hi there,i am just getting my head round card tarting and have just been aproved for a card with MBNA with a limit of £5000 which i intend to fill with balance transfers,my question is,is there any way that i can pay off my balance trasfer fee without it being trapped behind the transfers acruing interest?

YorkshireBoy

micktsb wrote:

hi there,i am just getting my head round card tarting and have just been aproved for a card with MBNA with a limit of £5000 which i intend to fill with balance transfers,my question is,is there any way that i can pay off my balance trasfer fee without it being trapped behind the transfers acruing interest?

The MBNA BT fee is collected with your first minimum payment, so doesn't sit on the account long enough to accrue interest.

micktsb

hi there MikeF,as you can see by the above post i too am a card tart virgin and have applied for an MBNA card, i was told by them that i can balance transfer a store card balance (debenhams) in fact they offered to do it there and then!! Also they send you a card cheque book so that you can pay off a loan, i specifically asked them if i could do this to pay off a lloyds bank loan.All you do is write out a cheque pay it into your account then ask the bank to pay the loan off,HAPPY DAYS!!!

micktsb

Thanks YorkshireBoy,thats put my mind at rest.

Moggles_2

Hi MikeF

Welcome to MSE & the credit card board!

On receipt of your MBNA card, you'll be able to request a balance transfer from your store card. There's a Freefone number for this.

Completing the balance transfer request on a credit card agreement or application can sometimes speed things up by a day or two but, unless you've already been accepted and told your credit limit, it's best to keep your options open, IMO, and leave this section blank or if asked, state you may be interested.

An horrendous story involving LTSB and Capital One was posted here on 2 October 2006. Incompetence on this scale is rare fortunately but, for peace of mind, I would wait until safe receipt of your card and credit limit before requesting your balance transfer.

Very best
M