Unexpected Cash Advance on Barclaycard Initial

potatoking

Been doing matched betting for a couple of months and decided to use the float available on my Barclaycard initial. I must admit, I didn't check the full t&c's as I can't find them in print, nor on Barclays website, but there is a summary page where you go to apply for the card, and it mentions nothing about credit used for gaming/gambling.

Not only did I get a "Credit transaction fee" of £13.15, but it also pushed my credit limit over the maximum. Now I presume they'll also charge me another fee for that?

Any suggestions?
Thank you for the responses

grumbler

What suggestions do you mean? It's too late now.
In the future read the T&C and Introductory Guides
This guide is outdated as the post saying that BC don't charge was edited last time almost 6 years ago, but it should have rang the bell.

guesswho2000

When did you get your Barclaycard?

They were, for a long time, a great card to use on gambling sites, as they treated the transactions as purchases, not cash. This was only changed last May, but they did publicise it quite a lot on their website, with statements and other mailings.

If you have (or get) a Halifax Clarity card, they treat gambling as cash, but don't charge cash fees, so you'll only pay the interest (which is low for cash, the same as purchases on this card), and if you pay it off quickly, the interest charge will be minimal.

That said, gambling using a credit card is a red flag to your card company, they may start to see you as a higher risk and lower your limit/increase your apr.

potatoking

guesswho2000 wrote: »

When did you get your Barclaycard?

Around Jan 2011.

guesswho2000 wrote: »

If you have (or get) a Halifax Clarity card, they treat gambling as a purchase, but don't charge cash fees, so you'll only pay the interest (which is low for cash, the same as purchases on this card), and if you pay it off quickly, the interest charge will be minimal.

I'm afraid I already have a Clarity, but they have me limited to a mere £700 and I have maxed it out on my arbs already.

guesswho2000 wrote: »

That said, gambling using a credit card is a red flag to your card company, they may start to see you as a higher risk and lower your limit/increase your apr.

By withdrawing from a cash machine and then injecting into my bank, I have avoided this. As you know, there are no cash advances on this card. The interest rate is insignificant compared to the arbs, I will make 10-25% per month on that money.

As it will take a few days for a payment to get through, will their over limit charge be added to next months bill or be added to the current credit? If it's added to the current credit, then it will push the limit over again, which will make me incredibly angry and will result in a bombardment of letters to BC headquarters.

I can't find the terms and conditions on their website or anywhere, so I could only speculate, and now I can only speculate how they will charge me.

UsetheFORCE

potatoking wrote: »

Around Jan 2011.



I'm afraid I already have a Clarity, but they have me limited to a mere £700 and I have maxed it out on my arbs already.



By withdrawing from a cash machine and then injecting into my bank, I have avoided this. As you know, there are no cash advances on this card. The interest rate is insignificant compared to the arbs, I will make 10-25% per month on that money.

As it will take a few days for a payment to get through, will their over limit charge be added to next months bill or be added to the current credit? If it's added to the current credit, then it will push the limit over again, which will make me incredibly angry and will result in a bombardment of letters to BC headquarters.

I can't find the terms and conditions on their website or anywhere, so I could only speculate, and now I can only speculate how they will charge me.

Moral of the story, don't sail SO CLOSE to your limit, ALWAYS allow a buffer!

Barclaycard

It will be added at the statement date I believe, I recently got charged because the interest pushed me over my limit although it was refunded as I had requested my statement date be changed and they failed to tell me it would take 3 months to take effect!

UsetheFORCE

guesswho2000 wrote: »

When did you get your Barclaycard?

They were, for a long time, a great card to use on gambling sites, as they treated the transactions as purchases, not cash. This was only changed last May, but they did publicise it quite a lot on their website, with statements and other mailings.

If you have (or get) a Halifax Clarity card, they treat gambling as a purchase, but don't charge cash fees, so you'll only pay the interest (which is low for cash, the same as purchases on this card), and if you pay it off quickly, the interest charge will be minimal.

That said, gambling using a credit card is a red flag to your card company, they may start to see you as a higher risk and lower your limit/increase your apr.

I have 3 credit cards and I only ever use my capital one card to make any betting transactions for this very reason! Even then, I keep it minimal as it looks bad on your credit file.

whatyadoinsucka

if your gambling only bet with real money.. ie a debit card..
the T&Cs changed 4-5 years back, hence i switched

guesswho2000

whatyadoinsucka wrote: »

if your gambling only bet with real money.. ie a debit card..
the T&Cs changed 4-5 years back, hence i switched

Nope, they changed last May, 10 months ago (I assume we're still talking Barclaycard?).

One issue with using your debit card is that it flags to your bank that you're gambling - people who have had their bank statements scrutinised when applying for mortgages, for example, have come unstuck this way.

A way around that is to have an account with a completely different bank account which is used solely for gambling transactions, or use a prepaid card.

guesswho2000

potatoking wrote: »

By withdrawing from a cash machine and then injecting into my bank, I have avoided this. As you know, there are no cash advances on this card. The interest rate is insignificant compared to the arbs, I will make 10-25% per month on that money...

Indeed, however be wary of doing this too often, too. Cash advances appear on your credit report, nobody seems to know exactly how they're interpreted by lenders as it's a relatively recent development, but the general consensus is that it's negative.

Don't get me wrong, I use cash advances from my Clarity, only ever when abroad though and the balance is cleared in full - it's still reported as a cash advance, but also that no balance is being carried - sailing close to the limit and taking cash advances could appear like cash is being withdrawn to make the minimum payments on the card, not good.

To clarify, not saying that you're in any way in that position, but that is the way banks interpret these things based on risk, and CC cash advances, gambling, etc. appears risky, even if, as in your case, it's a profitable outfit

potatoking

UsetheFORCE wrote: »

Moral of the story, don't sail SO CLOSE to your limit, ALWAYS allow a buffer!

I did! I left a good couple of quid. As in....£2. I had a feeling it would be a bad idea haha, but I never expected a cash advance. Perhaps they should choose another name, as opposed to "CASH" advance. It seems rather odd to be charged such a thing for an internet payment, when no notes/coins were involved.

guesswho2000 wrote: »

Indeed, however be wary of doing this too often, too. Cash advances appear on your credit report, nobody seems to know exactly how they're interpreted by lenders as it's a relatively recent development, but the general consensus is that it's negative.

Don't get me wrong, I use cash advances from my Clarity, only ever when abroad though and the balance is cleared in full - it's still reported as a cash advance, but also that no balance is being carried - sailing close to the limit and taking cash advances could appear like cash is being withdrawn to make the minimum payments on the card, not good.

To clarify, not saying that you're in any way in that position, but that is the way banks interpret these things based on risk, and CC cash advances, gambling, etc. appears risky, even if, as in your case, it's a profitable outfit

Thanks for the help, but it's ok, I just emptied it once. When I have a big enough float, I'm clearing all my cards and burning them. I don't need a mortgage as I should have enough for a house in 2~3 years, and I hope to move away from banks and their unethical ways altogether. Therefore, they can choke on my "credit history."

Again, thank you for the help :heartsmil

grumbler

potatoking wrote: »

...I will make 10-25% per month on that money.....

potatoking wrote: »

... I don't need a mortgage as I should have enough for a house in 2~3 years, ...

Good luck...
Is this plan based on the above 10-25% p.m.?
Bookmark this thread and tell us in 3 years how it is going...