When you do a balance transfer, do you have to close card?

SchminkyCat

Sorry if this is a really ignorant question, but this is all a bit new to me!

I have a current account with Natwest and a credit card, also with them. I can't afford to pay off the balance of the credit card in full at the mo and am paying around £60 a month interest. I reckon I can have the full amount paid off by around November this year.

Am wondering if I can transfer the balance of the credit card to a 0% interest card, to save on the interest due on the current card, but I don't want to close the Natwest one as we use it a lot, and have done for years, and are saving airmiles, which pay for our holiday each year.

Can anyone help?

Fruit_and_Nut_Case

Short answer: NO

SchminkyCat

Oooh - and I missed a bit of my brainwave off there...

Am thinking that if I can transfer at 0% and not close the card, then I can cut up the new card and never use it. Use the Natwest one each month as we usually do (adhering to my new STRICT budget) and pay it off in full each month so we still get the airmiles on purchases.

Our current account is well into the overdraft, which, whilst at a pretty low interest rate, is still costing us each month. So if I can just pay the minimum off a 0% credit card each month, that means I can pay off the overdraft quicker, and save more money there as well (OD is around £70 interest per month).

SchminkyCat

Oh. Bummer.

SchminkyCat

Oh hang on - do you mean no as in "no I don't have to close the old card"?

(think I may have misunderstood.....)

Fruit_and_Nut_Case

SchminkyCat wrote: »

Oh hang on - do you mean no as in "no I don't have to close the old card"?

(think I may have misunderstood.....)

Short answer: YES
Long answer: Yes you do not have to close the old card.

SchminkyCat

Thank you! Right - so now to find out a bit more about credit cards.

I need one that is 0% on balance transfers, with a low/no charge (who charges me? The new card or the old one?). Not sure what my credit rating is as most stuff is in Hubby's name. How can I find out how likely I am to get accepted for a card? Oh, and its a joint card* - can I transfer the balance onto a card in my name only? and will I need to get a signature from hubby.

*I saw Martin Lewis on "This Morning". I know this is not a joint card, it is in fact my hubbys card, with me as an extra card holder.

(all excited and a wee bit confused and possibly not making much sense as I rush ahead of myself as usual...)

thenudeone

SchminkyCat wrote: »

I need one that is 0% on balance transfers, with a low/no charge (who charges me? The new card or the old one?).

The new card will charge the fee for the balance transfer

SchminkyCat wrote: »

Not sure what my credit rating is as most stuff is in Hubby's name.

In that case you don't have much history (if any) and will be unlikely to be accepted for a mainstream card offering 0% promotional rates. I'd suggest you apply for a sub-prime card (many of the main lenders offer one such as Barclaycard Initial or CapitalOne Progress) and pay it off in full every month (so there's no interest). After 6-12 months your credit history will look better. 6 years and it will be better still!

SchminkyCat wrote: »

How can I find out how likely I am to get accepted for a card?

Try http://www.barclaycard.co.uk/personal and select "Check if I qualify for credit" or http://www.nationwide.co.uk/creditcard/credit-card/offer-deals.htm (but don't accept their "quote")
These both use a "soft search" on your credit file, i.e. other lenders will not be able to see that you'e been checked.
Once you formally apply, the search will be seen by other lenders.

SchminkyCat wrote: »

Oh, and its a joint card* - can I transfer the balance onto a card in my name only?

Most card issuers allow you to transfer balance in other people's names, but a few don't (eg: Santander) so check the terms carefully.

SchminkyCat wrote: »

and will I need to get a signature from hubby.

You don't need his signature either to apply for yourself or to transfer a balance from his card