Balance Transfer & Purchase Help

hadrian_2

I would like to make a £2500 purchase in the next couple of months and my 1st and only credit card is with Virgin Money. My 0% deal for the balance transfer i originally made ends begining of June 2011. I have a £950 balance at present (will be £700 when 0% deal ends). My Virgin credit card will also allow me to make a £2500 money transfer to another bank account at a fee of £100 with 0% interest until April 2012.

My plan is to apply for another credit card elsewhere and make a balance transfer to cover the balance at Virgin and also make a purchase on this new card for £2500. I estimate the new balance of £3200 (£2500 + £700) + fees involved to be paid off within 6 months. I would like to give myself a safety net for this plan by finding the best credit card.

Natwest can offer me an online application to their Classic Credit Card; 0% for 13 months from account opening on Purchases and 0% for 13 months from account opening made in the first 3 months on Balance Transfers. The fee involved is 2.9% on the Balance Transfer.
Any help with this matter would be greatly appreciated.

mo786uk

Yes that sounds like the best way forward - 0% on purchases and BT for as long as possible.

Alternativley why not focus all your payments towards your current Virgin account and only make minimum payments on the 0% purchases for your £2500 purchase until the Virgin account is clear. That way you wont incur any balance transfer fees for that transaction.

Without looking at exactly what money you have and when you will be making htis purchases you imply you can pay the full £3200 off within 6 months or so (prob 9 months if this purchase comes in 3 months) - therefore it should be no problem paying off the Virgin one as it is. Also dont forget even if you icnur a couple of months interest at standard rate it may end up being lower than the 2.9% of the £700 when you transfer it to the new Natwest card,

hadrian_2

Many thanks for the post.

Just got the calculator out and yes that probably looks the better option, to concentrate on the virgin card and pay it off by June. This would put me in a situation where i would need to go overdrawn at Natwest for about 2 months (currently overdrawn slightly at Natwest). Then it would be a case of finding a credit card company that would give me the best deal for a £2500 purchase. Any suggestions ?

Kind regards
Adrian

hadrian_2

Can anyone tell me;
If i wanted to make a purchase for £2500 and the payment is to be made to a builder or plumber will they accept a credit card and not charge me for using the credit card.

Many thanks