HELP: Is HSBC or CapitalOne 0%BT/Purch. the right cc for partner's debts transfer?

diekleinemue

Hello, good evening!

Can I please run something by you guys? *beg*

My (formerly good) credit rating has been marred by wanting to consolidate my outstanding debt and being refused a personal loan two times in a short space of time.

I have four accounts which are overdrawn/in debt:

£384.65 HSBC Current Account (£500 agreed overdraft)
£1653.39 HSBC Credit Card
£279.41 HSBC Business Account (£0 agreed overdraft)
£493.70 smile Current Account (£500 agreed overdraft)
_________________________________________________
£2830 TOTAL


The plan of action is that my partner applies for a 0% balance bransfer and purchase card like HSBC and CapitalOne have on offer in the moment, I transfer my debts and pay if off, when the card's 0% interest period runs out my credit rating will have been restored and I apply for the next card and move the debt back under my name.

Would the HSBC or the CapitalOne card allow me to transfer from two current accounts, one business account and one credit card? Oh, hang on! Three of the four accounts are with HSBC so I think the HSBC card is no longer possible.

Could I "pay" the overdrafts with the CapitalOne credit card? If not, how would I transfer the debts? Is that where the Egg card middle step comes in?

It's like learning a new dance: *kick*shuffle*shimmie*booty slap*booty slap* and turn and bow...

Any feedback, ideas, thoughts would be much appreciated!
diekleinemue

Phoenix79_2

HSBC and Cap One don't allow super BTs to the best of my knowledge. MBNA (and MBNA run cards like Virgin, Abbey and A&L) do...and they offer 12 months 0% on balance transfers which is one month less than the two cards you mention. You can't BT from HSBC to HSBC cards anyway.

So you apply for an MBNA card and transfer the required amount into your bank account (they are quite generous with their limits) and then you could pay off your 4 debts.

I'd just like to double check that the 0% BT on MBNA cards applies to transfers into accounts. Can anyone confirm this?

g60jet

Dont BT anything unless its free.
Get your partner to pay you the cash into your overdraft(s), and then she uses the credit card to purchase stuff upto the same value...but only things she'd buy anyway. thus saving the BT fees. BUT make sure she has 0% on purchases....but only do that if you can stick to the rule...and only buy what she would normally spend anyway. once you've got there cut up the cards. so you dont increase your debt. keep the hsbc cc open, they will throw offers at you once the card goes dorment. you might need them at the end of the interest free period for a low rate BT.

The egg card comes in for the anniversay offer...however its on bts done on the anni, not existing balances.

diekleinemue

g60jet wrote:

Get your partner to pay you the cash into your overdraft(s), and then she uses the credit card to purchase stuff upto the same value...but only things she'd buy anyway. thus saving the BT fees. BUT make sure she has 0% on purchases....but only do that if you can stick to the rule...and only buy what she would normally spend anyway. once you've got there cut up the cards. so you dont increase your debt. keep the hsbc cc open, they will throw offers at you once the card goes dorment. you might need them at the end of the interest free period for a low rate BT.

The egg card comes in for the anniversay offer...however its on bts done on the anni, not existing balances.

My partner is earning more than me, but he doesn't have £3000 lying around. I (or rather he) would need to be able to "pay" my debts with the card.

Has this been done before?

diekleinemue

CLAPTON

all depends upon the detail...what are your APRs on the debts.

if they are signifacant then its probably best to do a BT to a 0% card even if you have to pay a fee....see martin article about best BTs

or if you are unlikely to pay the debt off before the 0% runs out then consider a LOB card

in your situation a slow stooz (cf g60jet) doesn't seem to suit your circumstances

Phoenix79_2

I still think the BT is the best option even with the fee. The interest accrued on the 4 other debts in a couple of months could easily be more costly than the BT fee anyway.

You make mention of a 0% bt/purchase card. If you are transferring all your debts to a card at 0% for transfers then don't even think about purchasing things on it! If need be get a seperate card for that

tom188

You make mention of a 0% bt/purchase card. If you are transferring all your debts to a card at 0% for transfers then don't even think about purchasing things on it! If need be get a seperate card for that

Unless its 0% for purchases as well. In which case it does not matter.

Phoenix79_2

True....but if the sole intention is to pay off the debt then i would avoid putting extra things on it. Just concentrate on paying the debt. Also the 0% purchase period might be less than the transfer period as well.