Super balance transfer card question

pablopistachio

I have a very high interest loan and the balance is around £15,000. I'm considering paying it off now with lower interest rate credit cards but can't pay them on to the loan directly. Is the following feasible...

I've found an MBNA credit card that will allow me to draw down to my bank account within the first 60 days for 0% (26 months) and a 4% fee.

Suppose I apply for this card but get a relatively small credit limit (i.e. £2000) and I draw this down into my bank account...

I have an existing card with a £12,000 limit (about £1000 on there) and another card with a £3000 limit (£0 on there). I transfer the MBNA £2000 balance on to one of these cards, clearing the MBNA card.

I then draw down another £2000 into my bank account from the MBNA and repeat the balance transfer process.

So in effect I'm lumping £15,000 on to my 2 existing cards (which are much lower rates than my loan) but using the drawdown facility of the MBNA card to get cash in my bank to pay off the loan.

Yes I know the 4% transfer fee will amount to £600 but it's worth it.

I'll have to make 8 transfers within 60 days but I'm assuming that won't be an issue?

[Deleted User]

You'll also have the BT fees to pay on the other cards.

It would work in theory, if your loan interest rate really is that much higher than your existing cards. But it would surely be worth a try for a BT offer on another card before you do.