Balance Transfer and small incomes?!?!

nemo*_2

I'm a recent graduate from the UK. All my bank accounts etc are based here in the UK, including my student interest free overdraft, with the RBS. My student loan and overdraft are the only debts I have. I have to make a repayment of £700 to my overdraft before the end of this month and I'm panicking a bit about it. I was looking at taking out a balance transfer credit card to cover this £700 debt. I could probably make £100 repayments each month and have the debt cleared in 7 months. From your calculator the NatWest card is the cheapest for me. The problem is that I work in a developing country. It is my dream job- unfortunately, it only pays me £600/ month, or £7,200/ yr. This seems to be way under the minimum income required for all these cards. Do you have any suggestions for me? What should I do?!

Many thanks,
Sarah

Tixy

Hi

Most credit cards only allow transfers to other credit cards. Only a few special cards allow you to transfer money from a redit card to your current account. These are mainly MBNA backed cards, though there are others - a full list is here - http://www.stoozing.com/sbt.php
The fees are slightly higher than for normal balance transfers. I suspect your salary is too low to get any of these cards though (even if there was not a potential residency issue).

However if you don't work in the UK then you may well have problems getting new credit. Do you have an address in the UK? are you still classed as resident here? are you on the electoral roll?

Rather than look for new credit in your case it may be better to try negotiating with the bank to pay off the overdraft a bit slower.
When you say you have to pay off £700 is it that they have reduced your limit, or just that you will have to start paying interest if you cannot pay it off?

nononsense1

Hi

New to MSE and just want to say a big thank you to all the contributors for all their great advice.