new card trick (possibly)

Tiddlywinks

sharpy2010 wrote: »

Those were the days before those wallies of 9-11 who ruined things for everyone due to their selfishness.

I expect the families of the dead feel their lives were ruined a tad more than those who suffer minor inconvenience in day to day banking.

I take it you were referring to money laundering legislation which exists primarily to trace criminal assets? Yes, terrorism is a horrific crime but it was not the main driver for change.

card_2

transferred £100 as a test and it is now in my bank account. just transferred the remaining £7000. it has hit my MBNA card and they transferred it to my bank today. Will be in my account by Tuesday.

it it works it has given me a loan at 2.9%. If a non Barclaycard customer did this now they could get a card with a 1.48% balance transfer rate and 0% for 22 months giving them an annual loan rate of 0.81% which has got to be the best on the market and you could easily make a tidy profit if you put it in the best savings account on the market.

card_2

sharpy2010 wrote: »

You could rewrite this as... "One advisor said on the phone tonight that it wouldn't matter how much it was in credit or where it came from..."

The problem is, this one advisor is wrong. This advice broaches god knows how many money laundering rules!

sharpy2010 could you elaborate on which rules or laws you think it is breaking?

YorkshireBoy

card wrote: »

If a non Barclaycard customer did this now they could get a card with a 1.48% balance transfer rate and 0% for 22 months giving them an annual loan rate of 0.81% which has got to be the best on the market...

No it's not.

The M&S Sterling TC loophole will deliver an annual cost (using your calculation method) of 0.80%.

card_2

YorkshireBoy wrote: »

No it's not.

The M&S Sterling TC loophole will deliver an annual cost (using your calculation method) of 0.80%.

could you post a link to this please YorkshireBoy?

card_2

YorkshireBoy wrote: »

No it's not.

The M&S Sterling TC loophole will deliver an annual cost (using your calculation method) of 0.80%.

opps! miscalculated, the Barclaycard offer is 1.45% fee so over 22 months it's a 0.791% rate so marginally better that the M&S Travellers cheque loophole. Fingers crossed it works with the full balance, I'll keep you posted. Just applied for an M&S card too - thanks for the tip.

jamesd

This isn't a new trick, just normal stoozing. Whether it works depends on the policy of the card issuer for the card that ends up with an in credit balance.

YorkshireBoy

card wrote: »

Just applied for an M&S card too

Presumably you've also confirmed that your bank(s) will encash them free of charge? Some charge a fee. And some won't encash them at all!

chattychappy

The key legal problems with this are 1) Money laundering - this is more a theoretical problem as it would be easy to explain such a transaction. Nevertheless, institutions prefer to keep compliance as simple as possible - so some types of activity are simply not allowed in order to reduce risk. 2) Deposit taking. Deposit taking and lending have distinct regulatory environments. Credit balances can occur inadvertently, however as a policy CC operators should not allow CC accounts to be operated on the basis of receiving deposits unless they have the appropriate authorisation and the account is operated appropriately.

There is no denying that these methods sometimes work. But you are generally breaking the T+Cs and you can never be sure that because it worked in the past it will work again.

card_2

YorkshireBoy wrote: »

Presumably you've also confirmed that your bank(s) will encash them free of charge? Some charge a fee. And some won't encash them at all!

i had a look on the M&S site and they said they will refund any unused travellers cheques. I wonder if they would refund in cash or only to the card they were bought on? has anyone tried this? or know if co-op bank take travellers cheques with no charge?