Balance Transfer Question - Please Help

lauralla

I have recently applied for and been accepted for an M&S credit card. I have a limit of £3,000, increased from £2,000, when I explained I wanted to do a balance transfer. They are offering a life of balance transfer rate of 3.9% for balances transfered from a credit or store in the first 6 months of opening the account. I've probably had it about a month now.
I want to transfer a few different things to this low rate - bits and pieces of a few hundred pounds here and there (total of about £1,200) which are expensive, and difficult to manage.
So, I've just been on the phone to Capital One about the interest rate I'm paying on that card, and I asked if they did super balance transfers but they don't.
She did, however, suggest that I provide them with card details, they will transfer an amount over to this card. I am then in credit with this second card. I can then ring the 2nd card company and ask for a cheque to be sent to me for this credit amount, costing me nothing in interest. I can then pay this cheque into my current account, and clear off the bits and pieces that I want to.

I haven't heard of this idea, and certainly not from a credit card company. Can I do it? Has anyone else? Does it work? Any advice would be greatly appreciated, as it would solve my problem!

Sorry for the essay, but thank you very much for reading!

tom188

1. They will probably charge you balance transfer fees.
2. You may find the next person you speak to less obliging as cc companies do not like sending cheques out, and they may just bounce the positive balance back to M&S.

lauralla

I expected the balance transfer fees. But on whole, you don't think it would work?

tom188

You are going the wrong way.
You need to get M&S to transfer to Capital One - that way you will have no fees to pay. You may or may not be able to get the cheque - hence why I think it is a risk. If you must do this you may find taking cash out of Capital One account from an ATM easier.

lauralla

What I thought I would do is arrange a balance transfer of £3k from M&S to Capital One. This would clear the balance owing on Cap1, and leave me about £1500 in credit. Then I could ask for a cheque for the credit from Cap1 (if they give it to me) and pay off the bits and pieces that I want to.
That way, I don't incur a fee for the BT from M&S, and its all on the low rate of 3.9%.
But if Cap1 won't send me the cheque for the credit, and I take cash out - would I incur the charges/high interest rates??? I guess not, if I am in credit?


Thanks for your help, by the way, its very helpful to talk these things through with someone sometimes :-)

CLAPTON

what you need is an egg money card (not egg card but egg money card).
these allow positive as well as negative balances and you can BT your positive balances into your bank a/c for free.

sicker

I second CLAPTON. Apply for an Egg Money card from which you can draw up to £500 per day from positive balances and you can transfer (at a fee) money in from other cards.

John

lauralla

So, I've appplied for and been declined an Egg Money card. (What a waste of 45 mins on the phone).
Guess I'll need to think up another idea, or take a chance on the credit card company sending me a cheque for a positive balance.
If anyone has any ideas please shout!
Otherwise, thanks for your help all.