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Stoozing with debt rapayment
Debt-Free-Dave
Posts: 31 Forumite
in Credit cards
Hi MSE,
Quick question in regards to ability to stooze whilst paying off your debt. I know that strictly speaking stoozing is using a 0% card to spend, whilst earning interest on savings. My question is whether this could be used to avoid interest on overdrafts etc? So spend on the credit card and repay overdraft therefore cutting interest fees, then paying off 0% card last. Would this work?
Quick question in regards to ability to stooze whilst paying off your debt. I know that strictly speaking stoozing is using a 0% card to spend, whilst earning interest on savings. My question is whether this could be used to avoid interest on overdrafts etc? So spend on the credit card and repay overdraft therefore cutting interest fees, then paying off 0% card last. Would this work?
Starting Debt 20.03.2012 [STRIKE]£5,500[/STRIKE] £5,050
0
Comments
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Yes as long as you repay the card before the promotional rate finishes - don't rely on being able to transfer again to another 0% card - it might not happen.0
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Yes what you suggest is possible.0
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Yes it would work, you just need to do the maths.
Bear in ind that most transfers have fees of around 4%.0 -
I think the OP is talking of 'slow-stoozing', rather than 'fast-stoozing', ie putting their regular monthly outgoings on a 0% on purchases card and leaving their cash in the current account to reduce overdraft costs.Yes it would work, you just need to do the maths.
Bear in ind that most transfers have fees of around 4%.
However, I agree that fast-stoozing may deliver the objective sooner and cheaper...especially if the OP's overdraft is fee based (ie Santander or Halifax), rather than interest based.0 -
Thanks for all the responses. In regards to the above, I am trying to work out whether it would be worth doing a blance transfer as you suggest. My credit card is nearly paid off, and the interest charges would be less than 4% to pay it off as soon as possible.YorkshireBoy wrote: »I think the OP is talking of 'slow-stoozing', rather than 'fast-stoozing', ie putting their regular monthly outgoings on a 0% on purchases card and leaving their cash in the current account to reduce overdraft costs.
However, I agree that fast-stoozing may deliver the objective sooner and cheaper...especially if the OP's overdraft is fee based (ie Santander or Halifax), rather than interest based.
Is it possible to balance transfer an OD to a CC?Starting Debt 20.03.2012 [STRIKE]£5,500[/STRIKE] £5,0500
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