26 month 0% Barclaycard to reduce interest on current car loan?

Savedotmoney

Hello,

I'm wondering whether I'm allow to do this... I'm currently paying car finance at a rate of ridiculous. It's a HP agreement.

Outstanding balance is around £2500 and if I continue to make monthly payments I will end up paying £3800. I would like to shift this debt to a 0% credit card.

Can I shift car HP agreement debt to the 26 month 0% balance transfer Barclaycard or am I being an idiot? Thanks :T

JakeGreen

Only if you can treat it as a purchase. You can't 'transfer' the balance to pay off your hire purchase agreement if that's what you mean?

Ask the hire purchase people if they accept credit cards. Even if they charge you 3% for the transaction you'll still be better off paying them off.

If they do take cards, you'll have to make the purchase on a card which isn't a Barclaycard and then transfer the balance across, no doubt paying another small percentage fee.

If they don't do purchases you can phone up one of your other credit card providers and ask them for an SBT (super balance transfer) and then clear you HP agreement with cash and transfer the balance to the Barclaycard.

Savedotmoney

Thanks for your help.

I think I'll apply for the 18 month 0% balance transfer they have offered and pay on a card then transfer the debt.

Will save me over £1000!

sfax

If you have a credit card or cards that you already pay off in full each month you can generate cash by making a series of balance transfers instead of paying the monthly balance. You then use the cash saved to pay off the loan. Tesco have no time limit on when you can balance transfer up to the full 20 months at 0%.

If you don't spend much on a credit card generally then spend some time paying for everything you can instead of using cash or a debit card.

You can also balance transfer from other people's cards like friends or family and get them to pay you the cash that they would have paid anyway on their monthly statement payment