What can I do with this offer?

Jammi

I have been offered 0% for 12 months on all purchases over £250 made before 31 dec, on my MBNA Credit Card. Limit is £5000, current balance £0

I can't seem to think of any way to take advantage of this offer. Slow stooz is not an option as I'm currently using my Halifax Clarity and Egg money Card for my monthly spend.

Is there any way to convert my limit into cash and still make a profit. I reckon the best interest I can achieve would be about 3%, probably a bit more if fed into a monthly saver.

Am I missing a trick here, or is this simply an offer to pass on?

CannyJock

Ask your friends and family if they'll be needing to make any large christmas purchases and offer to put it on your card today and they can give you the cash end of January? They get upto 3 months interest free credit, you get to use the offer?

Egg Money you're getting 1% cashback on - 3% is better than 1% - use the new card for any purchases over £250 and use Egg Money for the rest

Jammi

Thanks for the suggestions.

CannyJock wrote: »

Ask your friends and family if they'll be needing to make any large christmas purchases and offer to put it on your card today and they can give you the cash end of January? They get upto 3 months interest free credit, you get to use the offer?

Too risky, I never lend to family or friends more than I can afford to give. They tend to give excuses for not paying in full and on time.

CannyJock wrote: »

Egg Money you're getting 1% cashback on - 3% is better than 1% - use the new card for any purchases over £250 and use Egg Money for the rest

Exactly what I plan to do, Problem is I'm not a very big spender. Too frugal for my own good.

Careful_ly

If you shop/buy petrol from Tesco/Sainsburys you could buy their gift cards in bulk and then use these for your smaller weekly shops/petrol buying.
Sainsburys also sell gift cards for B&Q, ToysRus etc so you could buy a mixture to take you past £250.

You could use your card to pay a lump towards your gas/electricily, council tax bills if they accept credit card payments.

HTH

Milarky

Jammi wrote: »

I have been offered 0% for 12 months on all purchases over £250 made before 31 dec, on my MBNA Credit Card. Limit is £5000, current balance £0

This offer tends to come in 'two-tier' form - with a longer period [12 months] for large purchases and a shorter one [6 months?] for non-large (any size) purchases. Are you sure there is not a shorter period which can be used safely for slow stoozing in your case too?

Is there any way to convert my limit into cash and still make a profit. I reckon the best interest I can achieve would be about 3%, probably a bit more if fed into a monthly saver.

There is such method - Paypoint. I've used it myself for 4 years now, but I doubt anyone else does - presumably because the first stage involves joining a credit union.

See this post (concerns cashbacks - but the principle is exactly the same - to generate cash balances by making 'purchases')

whatyadoinsucka

£250 yeah buy a new TV. enjoy yourself. at the moment the effort involved to earn a 'safe' interest on credit card debt is not worth the hassle 3% on £5,000 is only £150 less tax and its unlikely you'll have your money in for a full year..

pqrdef

See whether your gas/electricity supplier has a pay-in-advance deal. With Scottish Power you can pay a year in advance - by card, counts as a purchase - and get 5% off. Then your normal payments can go into a 5% monthly saver account instead.

mrs_T

Milarky wrote: »

This offer tends to come in 'two-tier' form - with a longer period [12 months] for large purchases and a shorter one [6 months?] for non-large (any size) purchases. Are you sure there is not a shorter period which can be used safely for slow stoozing in your case too?

There is such method - Paypoint. I've used it myself for 4 years now, but I doubt anyone else does - presumably because the first stage involves joining a credit union.

See this post (concerns cashbacks - but the principle is exactly the same - to generate cash balances by making 'purchases')

Can you please explain? I have access to a credit union which accepts paypoint payments from shops local to me. If I join the credit union and have an interest free on purchases cc do I just go into the local co-op and make deposits to my credit union account paying with the credit card and then transfer the money from the credit union account to my saving account of choice, earn interest and then repay the credit card from this at the end of the interest free period?

CannyJock

mrs_T wrote: »

Can you please explain? I have access to a credit union which accepts paypoint payments from shops local to me. If I join the credit union and have an interest free on purchases cc do I just go into the local co-op and make deposits to my credit union account paying with the credit card and then transfer the money from the credit union account to my saving account of choice, earn interest and then repay the credit card from this at the end of the interest free period?

Isn't there a loading fee if you pay by credit card?