Tesco BT Fee. Is It Worth It

steveb1967

Hi money saving friends,
Just been accepted for a Tesco CC, tried on application to BT £8000 to my A&L (SBT Card). Having just spoke to them my limit is £2500 but when I activate my card they can up it to £3000, for it to be any higher they would want to see some bank statement's.
Question is it worth trying to stooze £2800/2900 which will probably be the most they will BT, and the the BT fee is £35?
It is 0% until 1st Nov 05 and I will probably put it in either my cahoot(5.1%) saving's or my A&L mini cash ISA(5%), so this give's me 5 months of earnings.

Any wise word's would be very appreciated.
many thanks
steve b

YorkshireBoy

I'm no maths guru, and I'm just starting to stooze, but I'd probably not bother.

Just done a rough calculation (with some assumptions*) and I make it you'll only draw a profit of £18.66 after deduction of your £35 fee.

Interest is (2,667*5.1%*0.8)/365*180 = £53.66

Profit = interest - fee
........= £53.66 - £35.00 = £18.66

2667 is average balance
180 days if in from 1/5 to 1/11

* Basic rate tax payer, 2% min payments, payments made from stooze pot

t_i_g_e_rr

£2,900 for 5 months at 5.1% is about £60 interest. Minimum payments of 3% each month would drop this to £56. There is a £35 balance transfer fee, therefore Gross profit is £21. Tax on savings is 20% (I think), so net profit is £16.80. So.. It depends how long it will take you. You already have the card, but if it takes any more than an hour to set up, I wouldn't bother.

It's not a bad "cashback" card to buy on though, if your collecting Tesco points and spending them on things from the Tesco deals catalogue.

steveb1967

Got the card £3000 limit but wouldn't drop the £35, so I told the to cancel the card.
I may try the M&S one next.
all the best
many thanks
steve b