can i get some advice on balance transfer

littlemac168

i have been accepted for a new credit card and want to use the 0% balance transfer facility. I want to clear my debt but in all honesty cant really afford to up my monthly payments. So with this info is it best to move half of the balance over? will this half the payments on each card therefore making monthly payments the same as now?
my current card is a whopping 34% - capital one and my new one will be 15% nationwide.

there is also a 3.1% fee to transfer balances.

just want to know the rough figures before jumping into it all.

As you can tell I am not very financially clued up so any help would be greatful. I do of course want to concentrate on paying this all off but its not the time just now for it - maybe in a few months,

:mad:

stephane_2

What is the balance on your capital one credit card?
What is the credit limit on your nationwide?
How long is the 0% offer for?

littlemac168

20 months for 0% balance transfer but must be done within 3 months of opening. Plus just got agreement through this morning its 19.9% apr - which i am still happy with as capital one is 34%

balance on cap one is £2100 and new credit limit is £1200

stephane_2

You need to transfer as much as you can onto the nationwide credit card and making sure that you pay at least the monthly minimum payment without fail otherwise you'll lose the 0% offer. What ever is remaining on the capital one then you need to pay as much as you can towards it each months

fozmcfc

I would ask Nationwide to balance transfer £1100 to the card. This give a leaway to keep under the £1200 limit once the 3% is added to the £1100.

Then make sure you make the minimum payment each month towards the Nationwide card (I would suggest setting a direct debit for the minimum) and pay the maximum you can afford towards the Capital One card.

With any luck come the end of the 20 months, you will have cleared most or all the rest of Capital One card balance and just owe what is left on the Nationwide card.

Near the end of the 20 months, apply for another balance transfer card and transfer anything left on the Capital One and Nationwide card to it.

YorkshireBoy

littlemac168 wrote: »

cant really afford to up my monthly payments.

So with this info is it best to move half of the balance over? will this half the payments on each card therefore making monthly payments the same as now?

Your new total monthly payment will be around £14 more than you're paying now, due to Nationwide's minimum payment calculation method of 1% plus interest (£11 + £0) or £25...whichever is the greater.