Does this make sense?

klfairy

We have £252 left on the most expensive CC (35% APR :mad:). I reckon we could clear it as it is in about 3 months, possibly faster , but realistically 3 months. It dawned on me that I could balance transfer onto another card which has an offer of 0% on balance transfers (£7 in fees though).

It seems totally logical to me... am I right? I don't want to do something daft.

[Deleted User]

You have to ask yourself?

Will I spend the extra 0% credit because it's 0%

If no consider what the interest will be on this amount, considering what you will be paying back within the three months.

Calculate the cost of the new card and then compare.

Good idea if it works out, but it all deppends on what you are going to pay back within this three months, if you pay it after just a month it may just cost you more... but if you get to month three and didn't manage to clear it you may be right

Good Luck

klfairy

I'm sorry I don't really understand what you've said, assj.

I was thinking if we pay £50 off the card at 0% then it's £50 of real balance diminishing, rather than a portion being interest.

[Deleted User]

Sorry, I read it back and thought okay I agree lol!.

I meant be careful not to spend on the new card.

Work out what you will pay on the old card over the three months. Make sure what you work out can be done and that you can make those payments.

If the interest is more than £7.00 over the three months even with your max payments then deffos transfer and save.

HTH

camuk81

It does, however assj was saying is just because you have the high apr card with a balance of £0 don't go spending on it again, or run up more on the one that has 0% as the 0% will end and then you will still have a debt to pay and be back to square one.

You probably save more. A rough maths figures works out you would pay around £7.49 and if you are only paying the minimum you at 3% you pay in around £7.79 and pay out £7.49 meaning you actually only pay 30p off your debt each month

klfairy

The high APR card has long since been disposed of, so definitely no danger of it being spent on.

Thanks folks