Ask for 0% interest?

Streeet

Hi all,

Background:
I have a Virgin card (MBNA) and the interest free period is long overdue. I haven't applied for a new card in nearly 2 years and am considering balance transfering to the Capital One card with 0% interest till 2008. However I am always nervous about applying for new cards.

I have 2 questions if I may:

1) What sort of response would I get from Virgin if I said I was looking to tranfer my balance. Are they likely to match the interest free offer in an attempt to keep the balance?

2) If I apply and am successful for a new card it will bring my total to three cards. I am aware paying off loans early can have a negative effect on your credit rating. Can I cancel an old card with £0 balance without any implications?

Thanks for your advice.

kenshaz

1)They might
2)Why should paying off a loan have a negative effect ,I would say positive,less outstanding debt.Yes of course you can cancel an old card with nil balance .

Bisoy

If you hold a current account somewhere and don't have a credit card from them it's always a good start to ask if they could offer you a credit card.
Bear in mind that they will make a credit search and might also charge BT fees. Having not applied for a credit card for a while has to some degree make a negative impact on your credit history so that is why a lot of the MSE'rs would suggest start looking for a card where you hold a current account. good luck.