car finance company refusing credit card - question about 'money tranfers'

shrianne

Hi,

Sorry if this has been posted before but couldn't find anything through a search.

I have a balloon payment of just under £3000 to pay to my car finance company to own my car. I applied for the Tesco 0% credit card thinking I would use that to pay the final lump sum and spread out my payments.

However the car finance company refuse to take credit cards. So my first question is - are they allowed to do this, considering the superior protection you get with credit cards - do I have any rights here?

Secondly they said they do accept money transferred online, but when I tried to do that with my Tesco credit card, Tesco said this is a 'money transfer' rather than a purchase or balance transfer so is not covered by the 0% deal. Argh! So I wondered is this normal - do other cards allow the 0% for money transfers? I have found it difficult to find info online.

The only way I can think to solve this is to pay for it with my Tesco card, then get another credit card with the best 0% balance transfer deal and transfer the balance. But my third question is - would another card accept this as a balance transfer? Or would they somehow know that the original payment was a money transfer and not accept it as a balance transfer?

Sorry for all the questions and I would really appreciate it if anybody had any advice Thanks!

marvin

shrianne wrote: »

Hi,

Sorry if this has been posted before but couldn't find anything through a search.

I have a balloon payment of just under £3000 to pay to my car finance company to own my car. I applied for the Tesco 0% credit card thinking I would use that to pay the final lump sum and spread out my payments.

However the car finance company refuse to take credit cards. So my first question is - are they allowed to do this, considering the superior protection you get with credit cards - do I have any rights here?

Secondly they said they do accept money transferred online, but when I tried to do that with my Tesco credit card, Tesco said this is a 'money transfer' rather than a purchase or balance transfer so is not covered by the 0% deal. Argh! So I wondered is this normal - do other cards allow the 0% for money transfers? I have found it difficult to find info online.

The only way I can think to solve this is to pay for it with my Tesco card, then get another credit card with the best 0% balance transfer deal and transfer the balance. But my third question is - would another card accept this as a balance transfer? Or would they somehow know that the original payment was a money transfer and not accept it as a balance transfer?

Sorry for all the questions and I would really appreciate it if anybody had any advice Thanks!

Up to them what they take you should have checked it out first.

Money transfer is cash so would be treated as cash.

You needed a superbalance transfer card, this is one that allows you to transfer a balance from your current account as if you were settling an overdraft. This would have given you the cash in your account which would have allowed the payment. The other way would have been a credit card chequw but not many cards do these now.

chanz4

A lot of finance companys wont let you pay with a credit card, the best thing todo if you cant get the cash is to get a virgin card or any other card which allows a super balance transfer

shrianne

Ah great, I didn't know the terminology 'super balance transfer' so I will look into these and get the right card. Many thanks to both of you for a swift reply!

marvin

shrianne wrote: »

Ah great, I didn't know the terminology 'super balance transfer' so I will look into these and get the right card. Many thanks to both of you for a swift reply!

Not a problem it is always good to learn something new.

paulmcerlean

paying credit with credit generally is not an accepted form of payment.

chattychappy

shrianne wrote: »

Ah great, I didn't know the terminology 'super balance transfer'

It's not an official term. I've never seen it outside of this site.

The point about credit cards is that the merchant has to pay a fee to accept them. So they are widely accepted in shops where they want to make it easy for you to walk in and buy something.

But for an existing obligation, there is no reason for an organisation to finance your having the benefit of being able to use your credit card.

If you do a "super balance transfer", you will almost certainly have to pay a fee, despite a 0% interest deal.