Using a 0% credit card to pay off an overdraft

Greenteanlemon

Solved now, thanks

CLAPTON

why doesn't BF get a CC to transfer his OD to rather than you?

if you haven't already got a CC then you're unlikely to get a 0% BT card as these usually require you to have a proven record of handling CC properly

most CCs do not allow BTs to current a/cs; the MBNA stable of cards does however with a 4% fee

shiny76

The cheapest way I'd know of to pay off an overdraft would be the M&S travellers cheques method but this would be charged at 1%. So £30 on £3K.

I think it's very doubtful you'll find a provider will to do such a transfer for 0.3% (most charge approx 3%+!!!)

Tixy

First you need to apply and be accepted for an M&S credit card (with a high enough limit).
Then you use your M&S card to purchase sterling travellers cheques at M&S for £3k - its treated as a purchase and has a 1% fee but 15months to pay off the blance at 0%
Then you pay those travellers cheques into your bank account (check that your bank allow you to deposit these at no cost).
You then use the money in your account to pay off his bank account.

That said if you've never had a credit card before you might struggle to get the M&S card or any that allows you to do money transfers with a 0% promo and a high enough credit limit. What credit products have you had that show on your credit file?

If you do get a card and transfer the debt to you - presumably you are in a position to make sure the minimun payments are made each month if he is unable to or chooses not to?

Tixy

Well you've obviously got some history, which looks reasonable so you might get such a card. Really the only way to tell would be to apply.

The other cards that allow you to transfer money to your current account are listed here - http://www.stoozing.com/sbt.php - don't get a card that is not on that list or you won't be able to do what you want.
M&S is the cheapest fee from that list, though I'll mention that Virgin cards often give good (high) credit limits. Maybe try M&S and see what they say. If they did decline it wouldn't hurt to try one more application to one of the others (if you don't need to apply for any other credit in the next fee months).

[Deleted User]

vickylouise87 wrote: »

We've already agreed that he'll be signing a loan agreement with me, drafted by my lawyer. I love him to pieces, but not enough to spare his feelings and pride over a £3k loan!

Now THAT is the most sensible thing I've ever read round here for a long time.

At least that's one "my boyfriend's left me and owes me money for my credit card debt, how do I make him pay" thread we won't need to read in a year's time.

CLAPTON

vickylouise87 wrote: »

Thank you so much Tixy, that's very helpful.

I have had quite a long history of credit products. Overdraft, a couple store cards, several mobile phones, and a loan for just over £1k. The only things I still have is my overdraft (which is rarely used), my phone, my student loan and of course the ever-joyful mortgage with £89k left on it.

I check my credit report every 6 months. My Experian score is 999 and every creditor I've ever had (a fair few, it seems :S) has given me nothing but green marks. Having said that, I have not had a credit card before, and with the exception of student loan and mortgage (which they rarely care about) I have never borrowed more than about £1200 before.

Will my credit history complete enough for M&S to offer me a card?

I can afford the repayments. It would be tough, but doable. It's doubtful it would come to that though - He's now earning nearly as much as me and could pay it off reasonably quickly if it wasn't for the £60 a month charges.

We've already agreed that he'll be signing a loan agreement with me, drafted by my lawyer. I love him to pieces, but not enough to spare his feelings and pride over a £3k loan!

he has 3000 to pay
if there were no charges that would be £250 per month to clear in 12 months
even with charges at 60 per month if he paid 250 per month then it would be clear in 15 months

how much is he actually paying per month?

is 3 month saving really worth getting a solicitors agreement and all the hassle of getting the CC etc really worth this

I would advise against doing this

CLAPTON

congratulations on the wedding plans; hope all works out well

[Deleted User]

vickylouise87 wrote: »

Although we won't even be planning a wedding until we're debt free, so will be a good few years yet.

:undecided Vicky - there's something wrong with you.

Again, you appear to be taking the sensible approach. I think if you were to take the trouble to read a few previous threads, you'd find the normal approach is to announce that you need (not want, need) £15k for a wedding and although neither you or your boyfriend are working, what's the best way to get it. And could you consolidate your £30k of credit card debt at the same time.

I'm finding this all very disconcerting and am very much out of my comfort zone....

[Deleted User]

THAT'S the spirit! Now you're getting the hang of it!

And remember to file for a mis-sold loan at the end of it all.