Using Cards to Pay off an Overdraft

grizzlyqi

Hello

About 2 and a half years ago I graduated university. My student account was at the halifax and for some reason they didn't revoke the student conditions on the account for until this month. I've got a small bit of my overdraft left to pay off but I can't open a graduate account because I graduated so long ago. The interest in the overdraft is a lot.

Can I use a 0% balance transfer credit card to pay off the debt interest free (except for the initial fee)? Once I've got the card I plan to cut it up and just pay off my current debt, I don't have any other need for a credit card.

Thanks,

Chris

webbhost

Hi,

If I have this the right way around, you want to plce a 0% balance transfer from your DEBIT account to a CREDIT account right? Unfortunately I don't believe this is possible, it is only possible to do balance transfers between 2 credit accounts.

There is however another way around it -

- get the 0% interest SPENDING credit card.
- Rather than continuing to purchase items on your debit account and therefore creating further overdrafts, spend on your credit card instead and take the equivalent amount of money and put it into your debit account if it's not there already. - assuming you have an income, this will soon replace the overdraft with a positive balance, and you can then save to pay your credit card off knowing you're not getting charged.

- if you want to speed this up a little, get your "TRUSTED" friends to assist (at your own risk)..
- if they make a purchase, get them to give you the CASH, and then purchase the item with your credit card.
- At the earliest avail, take the money your friends have given you and go straight to your bank to pay it into your current account, or get them to wire transfer it to you which is quicker if you can trust them enough to make the payment straight away.

- Just "DONT" get carried away with the thought of having all of that cash available to you, or it could have dire concequences!! credit cards are for people that can manage their money well and not put themselves in a daft situation.

grumbler

webbhost wrote: »

...Unfortunately I don't believe this is possible, it is only possible to do balance transfers between 2 credit accounts....

It is possible, but costs more and very few credit cards do this: Overdraft balance transfer

YorkshireBoy

How long do you need?

For example:

20 months 0% for a 4% fee, or
15 months 0% for a 1% fee

Or maybe you'd like the long term security of a low interest rate and not have the risk of not getting another 0% card? If so, consider a 6.9% LOB rate for a 2% fee or a 5.9% LOB rate for a 4% fee.

All the above deals can be found here...

http://www.stoozing.com/sbt.php

...just sort by columns for % fee or 0% duration to suit your requirements.

grizzlyqi

I'd just like to say thank you all for your advice. A relative has loaned us (interest free) the money to pay off the overdraft in the short term. We'll get a 0% spending card so that we can pay her back as quickly as possible but won't suffer the prohibitive interest whilst we transfer the debt onto the card. Hopefully all should be well by this time next year.

Sheriffsam

I need to do exactly the same thing. The problem i have is on my credit file i have a missed payment about 7/8 months ago, so getting a 0% purchase card is really hard. Does anyone know of a purchase card where they are not as strict when it comes to missed payments?