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Overdraft - credit card - is it a good or bad move?
Nicky321
Posts: 1,426 Forumite
Please excuse my eargerness, I posted this last bit in DFW but havent had a reply as yet and want to get things moving before Feb kicks in, with more charges with Halifax .
Quote:
Originally Posted by Nicky321
In order to clear the O/D was thinking of balance transfering £3450 (£3588 inc 4% BT Charge) to Virgin Card on prom rate of 0% until Dec 11.
Would this be a positive move considering the debt of the O/D will be ongoing if they dont get completely cleared. Looking £62 and hopefully an extra £10 per month at least to clear the BT debt instead of just going towards the monthly fee.
Don't wanna move it and find its a bad move.
Been looking at this but already with A & L and they couldnt/wouldnt match the O/D (plus their charges are changing soon to a daily fee, but have a Virgin Credit card with prom offer of 0% till Dec 11 (I know its not great) but I could always BT again after this date.
I have tried to work it on on the calculators but because the £62 is purely the monthly charge the O/D balance never reduces.
So if I BT the O/D debt £3450 + £138 (Bal Tran Charge) = Total £3588
£62 min x 12 months = £744
£3588 - £744 = £2844
£3450 (original debt) - £2844 (Balance left) = O/D reduced by £606.00
Looking forward to your advice
Quote:
Originally Posted by Nicky321
In order to clear the O/D was thinking of balance transfering £3450 (£3588 inc 4% BT Charge) to Virgin Card on prom rate of 0% until Dec 11.
Would this be a positive move considering the debt of the O/D will be ongoing if they dont get completely cleared. Looking £62 and hopefully an extra £10 per month at least to clear the BT debt instead of just going towards the monthly fee.
Don't wanna move it and find its a bad move.
Been looking at this but already with A & L and they couldnt/wouldnt match the O/D (plus their charges are changing soon to a daily fee, but have a Virgin Credit card with prom offer of 0% till Dec 11 (I know its not great) but I could always BT again after this date.
I have tried to work it on on the calculators but because the £62 is purely the monthly charge the O/D balance never reduces.
So if I BT the O/D debt £3450 + £138 (Bal Tran Charge) = Total £3588
£62 min x 12 months = £744
£3588 - £744 = £2844
£3450 (original debt) - £2844 (Balance left) = O/D reduced by £606.00
Looking forward to your advice
0
Comments
-
Looks pretty black and white to me!
Do it
Cashback Earned ¦ Nectar Points £68 ¦ Natoinwide Select £62 ¦ Aqua Reward £100 ¦ Amex Platinum £48
0 -
I would do it; as long as you are sure you won't run up the overdraft again.MFW 2025 #50: £1989.73/£600007/03/25: Mortgage: £67,000.00
12/08/25: Mortgage: £62,500.00
12/06/25: Mortgage: £65,000.00
18/01/25: Mortgage: £68,500.14
27/12/24: Mortgage: £69,278.38
27/12/24: Debt: £0 🥳😁
27/12/24: Savings: £12,000
12/08/25: Savings: £12,0000
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